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Management challenges in privatization acquisitions in transition economies

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  • Meyer, Klaus E.

Abstract

Large-scale privatization has been at the core of economic reform in most transition economies, except China, since 1990. Privatization creates special challenges for multinational investors acquiring firms in the process. Such acquisitions differ from conventional acquisitions due to the constraints imposed on strategic action by the privatization context, the depth of subsequent restructuring, and the necessary sensitivity to the local context and the societal changes associated with systemic transition. This paper reviews privatization experiences in Central and Eastern Europe and the former Soviet Union with the aim of identifying key issues for managers operating in transition economies.

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  • Meyer, Klaus E., 2002. "Management challenges in privatization acquisitions in transition economies," Journal of World Business, Elsevier, vol. 37(4), pages 266-276, January.
    • Handle: RePEc:eee:worbus:v:37:y:2002:i:4:p:266-276
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    3. Yuriy Gorodnichenko & Monika Schnitzer, 2013. "Financial Constraints And Innovation: Why Poor Countries Don'T Catch Up," Journal of the European Economic Association, European Economic Association, vol. 11(5), pages 1115-1152, October.
    4. Kedia, Ben L. & Bilgili, Tsvetomira V., 2015. "When history matters: The effect of historical ties on the relationship between institutional distance and shares acquired," International Business Review, Elsevier, vol. 24(6), pages 921-934.
    5. Lebedev, Sergey & Peng, Mike W. & Xie, En & Stevens, Charles E., 2015. "Mergers and acquisitions in and out of emerging economies," Journal of World Business, Elsevier, vol. 50(4), pages 651-662.
    6. Witteloostuijn, Adriaan van & Dikova, Desislava, 2005. "Acquisition versus greenfield foreign entry : diversification mode choice in Central and Eastern Europe," Research Report 04G26, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
    7. Larimo, Jorma & Arslan, Ahmad, 2013. "Determinants of foreign direct investment ownership mode choice: Evidence from Nordic investments in Central and Eastern Europe," Journal of East European Management Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 18(2), pages 232-263.
    8. Klaus E. Meyer & Saul Estrin & Sumon Kumar Bhaumik & Mike W. Peng, 2009. "Institutions, resources, and entry strategies in emerging economies," Strategic Management Journal, Wiley Blackwell, vol. 30(1), pages 61-80, January.
    9. Azdejković Dragan & Marković Dušan, 2016. "The Impact Of Cross-Border Acquisitions In Serbia On Productivity, Wages, And Employment," Economic Annals, Faculty of Economics and Business, University of Belgrade, vol. 61(211), pages 47-68, October -.
    10. Carney, Richard W. & Liu, Wai-Man (Raymond) & Ngo, Phong T. H., 2012. "Responding to Financial Crisis: The Rise of State Ownership and Implications for Firm Performance," MPRA Paper 43600, University Library of Munich, Germany.
    11. Zdolsek, Daniel & Kolar, Iztok, 2013. "Management disclosure practices for disaggregated (financial) information in Slovenian unlisted companies," Journal of East European Management Studies, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 18(2), pages 232-263.
    12. Mehdi Farashahi & Taïeb Hafsi, 2009. "Strategy of firms in unstable institutional environments," Asia Pacific Journal of Management, Springer, vol. 26(4), pages 643-666, December.
    13. Xanthippe Adamoglou & Dimitrios Kyrkilis, 2018. "FDI Entry Strategies as a Function of Distance—The Case of an Emerging Market: Turkey," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 9(4), pages 1348-1373, December.
    14. Peng, Mike W. & Buck, Trevor & Filatotchev, Igor, 2003. "Do outside directors and new managers help improve firm performance? An exploratory study in Russian privatization," Journal of World Business, Elsevier, vol. 38(4), pages 348-360, November.
    15. Yuping Zeng & Thomas J. Douglas & Changqi Wu, 2013. "The Seller's Perspective on Determinants of Acquisition Likelihood: Insights from China's Beer Industry," Journal of Management Studies, Wiley Blackwell, vol. 50(4), pages 673-698, June.
    16. Klaus E. Meyer & Modestas Gelbuda, 2006. "Process perspectives in international business research in CEE," Management International Review, Springer, vol. 46(2), pages 143-164, March.
    17. Kamel Mellahi & Adrian Wilkinson, 2010. "A Study of the Association between Level of Slack Reduction Following Downsizing and Innovation Output," Journal of Management Studies, Wiley Blackwell, vol. 47(3), pages 483-508, May.
    18. Thierry Nobre & Dmitry Riskal, 2003. "L'Évolution Des Pratiques De Contrôle De Gestion Dans Les Entreprises Russes Après 1992," Post-Print halshs-00582807, HAL.
    19. Batiz-Lazo, Bernardo & Blanco Mendialdua, Ana & Urionabarrenetxea Zabalandikoetxea, Sara, 2001. "Growth of the Spanish Multinational in Latin America during the 1990s," MPRA Paper 929, University Library of Munich, Germany, revised Dec 2005.

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