Merger and Acquisition Strategies
Show Less

Merger and Acquisition Strategies How to Create Value

How to Create Value

  • New Perspectives on the Modern Corporation series

Angelo Dringoli

The decision to carry out a merger or acquisition is certainly a risky one, not least because of the number of variables influencing the final outcome. It is also a decision frequently based on the wrong objectives and an incorrect evaluation process. With this in mind, this important new book offers solutions for reducing the high percentage of mergers and acquisitions (M & As) that fail. It adopts a normative approach, using theoretical analysis to show what managers could and should do to increase shareholders’ value through successful M & A strategies. It also explores the conditions that are suitable for favouring a certain type of M & A (horizontal, vertical or diversified) over the others. In conclusion, the book presents case studies of successful M & A strategies providing a link between theory and practice.
Buy Book in Print
Show Summary Details
You do not have access to this content

Chapter 3: Making M & As create value: an analytical model for evaluating M & As

Angelo Dringoli


The high percentage of failures highlights the need to define more precisely the purpose of an M & A and use more effective models for evaluating and managing M & As. To offer a contribution for reducing the percentage of failures in M & As, we believe it is necessary, first of all, to acknowledge that the ultimate aim of a corporation is to create value for its shareholders. Then, it is necessary to define analytical models and procedures suitable for properly evaluating and implementing M & As to create value. With this in mind, we will analyse the general conditions necessary for reaching this objective.

You are not authenticated to view the full text of this chapter or article.

Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.

Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.

Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.

Further information

or login to access all content.