Mergers and acquisitions have been taking place since decades and will continue. There are a lot of facts about benefits, about the risks or new methods to be profitable in a merger or an acquisition. A lot of literature shows us that more than about 60% of the mergers and acquisitions are a failure. Besides, the high failure rates this paper illustrates deal motivations for mergers and acquisitions.
This paper was written by an author whose mother tongue is not English. Please excuse any mistakes or inconsistencies.
Inhaltsverzeichnis (Table of Contents)
- Introduction
- Mergers & Acquisitions worldwide 2007 - 2014
- Difference between Mergers and Acquisitions
- Merger
- Different types of mergers
- Vertical Mergers
- Horizontal Mergers
- Product Extension
- Market Extension
- Conglomerate
- Acquisition
- Deal Motivation
- Synergy
- Diversification
- Strategic realignment
- Financial considerations
- Hubris
- Tax Consideration
- Conclusion
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This paper aims to explore the motivations behind mergers and acquisitions, highlighting the complexities and challenges associated with these transactions. The paper analyzes the differences between mergers and acquisitions and examines various types of mergers, including vertical, horizontal, product extension, market extension, and conglomerate mergers. It also delves into the key motivations for deal-making, such as synergy, diversification, strategic realignment, financial considerations, hubris, and tax considerations.
- Understanding the differences between mergers and acquisitions
- Analyzing various types of mergers and their strategic implications
- Exploring the key motivations behind mergers and acquisitions
- Assessing the potential benefits and risks associated with mergers and acquisitions
- Investigating the role of financial considerations and strategic alignment in deal-making
Zusammenfassung der Kapitel (Chapter Summaries)
The introduction provides an overview of mergers and acquisitions, highlighting the global trend of these transactions. It also introduces the key focus of the paper: to explore the motivations behind mergers and acquisitions.
The chapter on mergers defines the concept of a merger and delves into different types of mergers, including vertical, horizontal, product extension, market extension, and conglomerate mergers. Each type of merger is discussed in detail, outlining its specific characteristics and potential benefits.
The chapter on acquisitions defines the concept of an acquisition and distinguishes it from a merger. It highlights the key differences between these two forms of corporate transactions.
The chapter on deal motivation examines the various factors that drive companies to engage in mergers and acquisitions. It discusses key motivations such as synergy, diversification, strategic realignment, financial considerations, hubris, and tax considerations. Each motivation is analyzed in depth, exploring its potential impact on deal outcomes.
Schlüsselwörter (Keywords)
Mergers and acquisitions, deal motivation, synergy, diversification, strategic realignment, financial considerations, hubris, tax consideration, vertical merger, horizontal merger, product extension, market extension, conglomerate merger.
- Quote paper
- Kristina Kraft (Author), 2016, Mergers and Acquisitions. Types and Motivations for a Deal, Munich, GRIN Verlag, https://www.grin.com/document/323612