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Mergers and Acquisitions in Latin America: Industrial Productivity and Corporate Governance

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  • Lina M. Cortés
  • Iván A. Durán
  • Sandra Gaitán-Riaño
  • Mateo Vasco

Abstract

This paper examines the impact of industrial productivity on transnationals M&As from OECD countries towards Latin American countries in the period 1996 to 2010. It also analyzes the relationship between external mechanism of corporate governance and transnational M&As. For this purpose we use a gravitational model at the industry level. We find that industry productivity and higher standards of corporate governance in the country of origin promote transnational M&As activity. However, it is also found that higher levels of capital and technological productivity decreases transnational M&As activity.

Suggested Citation

  • Lina M. Cortés & Iván A. Durán & Sandra Gaitán-Riaño & Mateo Vasco, 2016. "Mergers and Acquisitions in Latin America: Industrial Productivity and Corporate Governance," Documentos de Trabajo de Valor Público 14436, Universidad EAFIT.
    • Handle: RePEc:col:000122:014436
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    More about this item

    Keywords

    Mergers and Acquisitions; Industry Productivity; Corporate Governance;
    All these keywords.

    JEL classification:

    • F30 - International Economics - - International Finance - - - General
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • L21 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Business Objectives of the Firm

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