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Dating before marriage? Analyzing the influence of pre-acquisition experience and target familiarity on acquisition success in the "M&A as R&D" type of acquisition

Author

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  • Al-Laham, Andreas
  • Schweizer, Lars
  • Amburgey, Terry L.

Abstract

Summary This study analyzes the "M&A as R&D" type of acquisition addressing the question whether acquisition experience and target familiarity influence the post-acquisition integration success in terms of innovation. We measure the influence of general acquisition experience of the acquirer, pre-acquisition alliance experience with the target, and sector familiarity of the target on the post-acquisition patent rate of the acquirer. The results of our event history analysis of the complete U.S. biotech population for 1973-2000 indicate that general acquisition experience and target familiarity increase the post-acquisition patenting speed.

Suggested Citation

  • Al-Laham, Andreas & Schweizer, Lars & Amburgey, Terry L., 2010. "Dating before marriage? Analyzing the influence of pre-acquisition experience and target familiarity on acquisition success in the "M&A as R&D" type of acquisition," Scandinavian Journal of Management, Elsevier, vol. 26(1), pages 25-37, March.
  • Handle: RePEc:eee:scaman:v:26:y:2010:i:1:p:25-37
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    Citations

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    Cited by:

    1. Strobl, Andreas & Bauer, Florian & Matzler, Kurt, 2020. "The impact of industry-wide and target market environmental hostility on entrepreneurial leadership in mergers and acquisitions," Journal of World Business, Elsevier, vol. 55(2).
    2. K D S Fernald & H P G Pennings & J F van den Bosch & H R Commandeur & E Claassen, 2017. "The moderating role of absorptive capacity and the differential effects of acquisitions and alliances on Big Pharma firms' innovation performance," PLOS ONE, Public Library of Science, vol. 12(2), pages 1-22, February.
    3. Ma, Tingting & Zhang, Yi & Huang, Lu & Shang, Lining & Wang, Kangrui & Yu, Huizhu & Zhu, Donghua, 2017. "Text mining to gain technical intelligence for acquired target selection: A case study for China's computer numerical control machine tools industry," Technological Forecasting and Social Change, Elsevier, vol. 116(C), pages 162-180.
    4. Woltering-Lamers, Philipp, 2011. "Die sequenzielle Organisationswahl: Kooperationen als Vorstufe von Akquisitionen," Arbeitspapiere 122, University of Münster, Institute for Cooperatives.
    5. Anja Trichterborn & Dodo Zu Knyphausen-Aufseß & Lars Schweizer, 2016. "How to improve acquisition performance: The role of a dedicated M&A function, M&A learning process, and M&A capability," Strategic Management Journal, Wiley Blackwell, vol. 37(4), pages 763-773, April.
    6. Korshunova, Elisabeth & Tiberius, Victor & Cesinger, Beate & Bouncken, Ricarda, 2021. "Potential pitfalls of startup integrations: An exploratory study," Journal of Business Venturing Insights, Elsevier, vol. 15(C).
    7. Thomas Mellewigt & Adeline Thomas & Ingo Weller & Edward J. Zajac, 2017. "Alliance or Acquisition? A Mechanisms‐Based, Policy‐Capturing Analysis," Strategic Management Journal, Wiley Blackwell, vol. 38(12), pages 2353-2369, December.
    8. Bauer, Florian & King, David & Matzler, Kurt, 2016. "Speed of acquisition integration: Separating the role of human and task integration," Scandinavian Journal of Management, Elsevier, vol. 32(3), pages 150-165.
    9. García-Canal, Esteban & Valdés-Llaneza, Ana & Sánchez-Lorda, Pablo, 2014. "Contractual form in repeated alliances with the same partner: The role of inter-organizational routines," Scandinavian Journal of Management, Elsevier, vol. 30(1), pages 51-64.
    10. Stienstra, Miranda, 2020. "The determinants and performance implications of alliance partner acquisition," Other publications TiSEM 7fdee0c2-d4d2-4f5b-95e3-2, Tilburg University, School of Economics and Management.
    11. Ilaria Galavotti, 2019. "Firm-level recent profitability and acquisition performance: exploring competing theoretical perspectives," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 9(3), pages 319-345, September.
    12. Ermolaeva, L., 2016. "Negative or positive: Which experience matters for international M&A initiation stage?," Working Papers 6443, Graduate School of Management, St. Petersburg State University.
    13. Dhir, Sanjay & Ongsakul, Viput & Ahmed, Zafar U. & Rajan, Rishabh, 2020. "Integration of knowledge and enhancing competitiveness: A case of acquisition of Zain by Bharti Airtel," Journal of Business Research, Elsevier, vol. 119(C), pages 674-684.
    14. Dovev Lavie & Randi Lunnan & Binh Minh T. Truong, 2022. "How does a partner's acquisition affect the value of the firm's alliance with that partner?," Strategic Management Journal, Wiley Blackwell, vol. 43(9), pages 1897-1926, September.
    15. Junni, Paulina, 2011. "Knowledge transfer in acquisitions: Fear of exploitation and contamination," Scandinavian Journal of Management, Elsevier, vol. 27(3), pages 307-321, September.

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