Who Acquires Whom? The Role of Geographical Proximity and Industrial Relatedness in Dutch Domestic M&As between 2002 and 2008
(2015) In Tijdschrift Voor Economische en Sociale Geografie 106(5). p.608-624- Abstract
- In economic geography, geographical proximity has been identified as a key driver of M&A activity. In this context, little attention has yet been drawn to the effect of industrial relatedness, which refers to the similarity and complementarity of business activities. We examine 1,855 domestic M&A deals announced between 2002 and 2008 in the Netherlands, and we assess the extent to which geographical proximity and industrial relatedness affect M&A partnering. Our study shows that geographical proximity drives domestic M&A deals, even at very detailed spatial scales like the municipality level. We also found evidence that companies that share the same or complementary industries are more likely to engage in an M&A deal.... (More)
- In economic geography, geographical proximity has been identified as a key driver of M&A activity. In this context, little attention has yet been drawn to the effect of industrial relatedness, which refers to the similarity and complementarity of business activities. We examine 1,855 domestic M&A deals announced between 2002 and 2008 in the Netherlands, and we assess the extent to which geographical proximity and industrial relatedness affect M&A partnering. Our study shows that geographical proximity drives domestic M&A deals, even at very detailed spatial scales like the municipality level. We also found evidence that companies that share the same or complementary industries are more likely to engage in an M&A deal. Logistic regressions show that the effect of industrial relatedness is stronger than the effect of geographical proximity and that the effect of geographical proximity is stronger in unrelated than related target selection. (Less)
Please use this url to cite or link to this publication:
https://lup.lub.lu.se/record/8754472
- author
- Ellwanger, Nils and Boschma, Ron LU
- organization
- publishing date
- 2015
- type
- Contribution to journal
- publication status
- published
- subject
- keywords
- Mergers and acquisitions, the Netherlands, geographical proximity, home, bias, industrial relatedness
- in
- Tijdschrift Voor Economische en Sociale Geografie
- volume
- 106
- issue
- 5
- pages
- 608 - 624
- publisher
- Wiley-Blackwell
- external identifiers
-
- wos:000368331100007
- scopus:84958847254
- ISSN
- 0040-747X
- DOI
- 10.1111/tesg.12141
- language
- English
- LU publication?
- yes
- id
- 7c3a9c48-c8ff-4043-a5be-2c1801cc2c3c (old id 8754472)
- date added to LUP
- 2016-04-01 14:39:03
- date last changed
- 2024-01-10 05:39:02
@article{7c3a9c48-c8ff-4043-a5be-2c1801cc2c3c,
abstract = {{In economic geography, geographical proximity has been identified as a key driver of M&A activity. In this context, little attention has yet been drawn to the effect of industrial relatedness, which refers to the similarity and complementarity of business activities. We examine 1,855 domestic M&A deals announced between 2002 and 2008 in the Netherlands, and we assess the extent to which geographical proximity and industrial relatedness affect M&A partnering. Our study shows that geographical proximity drives domestic M&A deals, even at very detailed spatial scales like the municipality level. We also found evidence that companies that share the same or complementary industries are more likely to engage in an M&A deal. Logistic regressions show that the effect of industrial relatedness is stronger than the effect of geographical proximity and that the effect of geographical proximity is stronger in unrelated than related target selection.}},
author = {{Ellwanger, Nils and Boschma, Ron}},
issn = {{0040-747X}},
keywords = {{Mergers and acquisitions; the Netherlands; geographical proximity; home; bias; industrial relatedness}},
language = {{eng}},
number = {{5}},
pages = {{608--624}},
publisher = {{Wiley-Blackwell}},
series = {{Tijdschrift Voor Economische en Sociale Geografie}},
title = {{Who Acquires Whom? The Role of Geographical Proximity and Industrial Relatedness in Dutch Domestic M&As between 2002 and 2008}},
url = {{http://dx.doi.org/10.1111/tesg.12141}},
doi = {{10.1111/tesg.12141}},
volume = {{106}},
year = {{2015}},
}