Ownership in cross-border acquisitions and entry timing of the target firm

Fuentelsaz, Lucio (Universidad de Zaragoza) ; Garrido, Elisabet (Universidad de Zaragoza) ; González, Minerva (Universidad de Zaragoza)

Resumen: We examine how the entry timing of targets influences the initial and the post-entry percentage of ownership acquired by multinationals. We argue that targets that have entered earlier into the market launch signals of lower uncertainty in contexts where first-mover advantages exist. As a consequence, multinationals are willing to buy higher levels of ownership in these early entrant targets and to increase their participation in the subsidiary equity in the post-entry stage. Finding support for these relationships, we study how market age and innovative behaviour of the target reduce the importance of leading time as determinant of the ownership decision.

Idioma: Inglés

DOI: 10.1016/j.jwb.2019.101046

Año: 2020

Publicado en: JOURNAL OF WORLD BUSINESS 55, 2 (2020), 101046 1-18
ISSN: 1090-9516

Factor impacto JCR: 8.513 (2020)

Categ. JCR: BUSINESS rank: 23 / 153 = 0.15 (2020) - Q1 - T1

Factor impacto SCIMAGO: 3.607 - Business and International Management (Q1) - Marketing (Q1) - Finance (Q1)

Financiación: info:eu-repo/grantAgreement/ES/DGA-FSE/S54-17R
Financiación: info:eu-repo/grantAgreement/ES/MINECO-FEDER/ECO2017-85451-R
Financiación: info:eu-repo/grantAgreement/ES/UZ/JIUZ-2017-SOC-08

Tipo y forma: Article (PostPrint)

Área (Departamento): Área Organización de Empresas (Dpto. Direcc.Organiza.Empresas)