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Why Do Sustainable Mergers Fail to Manage Entrepreneurship?

Author

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  • María Sarabia

    (Department of Economics and Business Administration, University of Alcalá, Alcalá de Henares (Madrid) 28801, Spain)

  • Fernando Crecente

    (Department of Economics and Business Administration, University of Alcalá, Alcalá de Henares (Madrid) 28801, Spain)

  • Rafael Castaño

    (Department of Economics and Business Administration, University of Alcalá, Alcalá de Henares (Madrid) 28801, Spain)

Abstract

This paper proposes a conceptual model using four failed mergers (Federated -Fingerhut, KCPL and Western Resources, Daimler–Chrysler and Alcatel–Lucent) and distinguishes two types of dimensions: type of failure (tangible and intangible) and degree of failure (fixable and unfixable). Using case studies as a research strategy and focusing on the Alcatel–Lucent merger, as an example of an idiosyncratic type of “merger of equals”, the model identifies the entrepreneurial conflict variable as a missed step for obtaining a sustainable merger process over time.

Suggested Citation

  • María Sarabia & Fernando Crecente & Rafael Castaño, 2019. "Why Do Sustainable Mergers Fail to Manage Entrepreneurship?," Sustainability, MDPI, vol. 11(2), pages 1-9, January.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:2:p:525-:d:199235
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    References listed on IDEAS

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    Cited by:

    1. Nadia A. Abdelmegeed Abdelwahed & Bahadur Ali Soomro & Naimatullah Shah, 2022. "The Role of Environment, Business and Human Behavior towards Entrepreneurial Sustainability," Sustainability, MDPI, vol. 14(5), pages 1-17, February.
    2. Roxana Manuela Dicu & Ioan-Bogdan Robu & George-Marian Aevoae & Daniela-Neonila Mardiros, 2020. "Rethinking the Role of M&As in Promoting Sustainable Development: Empirical Evidence Regarding the Relation Between the Audit Opinion and the Sustainable Performance of the Romanian Target Companies," Sustainability, MDPI, vol. 12(20), pages 1-17, October.

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