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Analysis of the Behavior Mergermarket in the Conditions the Financial Crisis

Author

Listed:
  • Petr VALOUCH

    (Faculty of Economics and Administration, Masaryk University, Brno, Czech Republic)

  • Jaroslav SEDLÁCEK

    (Faculty of Economics and Administration, Masaryk University, Brno, Czech Republic)

  • Alois KONECNÝ

    (Faculty of Economics and Administration, Masaryk University, Brno, Czech Republic)

Abstract

This paper presents the first results of a research project which has the aims to identify the problems appearing during the preparation of mergers in compliance with valid Czech regulations and to analyze economic causes and consequences of mergers. At the first stage it was necessary to compile a basic dataset in a structure needed for a statistical analysis. The aim of the study is to explore, both theoretically and empirically, the effect of the financial crisis on the activity of company mergers in the conditions of the Czech economy. The temporal range of the study is the last 10 years, i.e. 2001–2010, when two financial crises occurred. The results of the analysis pointed out two main factors affecting the activities in the area of company mergers which took place during the last decade. At the next stage of the study, the research methodology will concentrate on the assessment of the economic efficiency of implemented mergers.

Suggested Citation

  • Petr VALOUCH & Jaroslav SEDLÁCEK & Alois KONECNÝ, 2012. "Analysis of the Behavior Mergermarket in the Conditions the Financial Crisis," Economics and Applied Informatics, "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration, issue 1, pages 37-44.
    • Handle: RePEc:ddj:fseeai:y:2012:i:1:p:37-44
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    References listed on IDEAS

    as
    1. G. Kling & U. Weitzel, 2009. "Endogenous mergers: Bidder momentum and market reaction," Working Papers 09-22, Utrecht School of Economics.
    2. Challe Edouard & Ragot Xavier, 2011. "Bubbles and Self-Fulfilling Crises," The B.E. Journal of Macroeconomics, De Gruyter, vol. 11(1), pages 1-38, May.
    3. Richard J. Rosen, 2006. "Merger Momentum and Investor Sentiment: The Stock Market Reaction to Merger Announcements," The Journal of Business, University of Chicago Press, vol. 79(2), pages 987-1017, March.
    4. repec:hal:spmain:info:hdl:2441/3lkfg3dhba9dropgrremm2vv3r is not listed on IDEAS
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Company transformations; Types of mergers; Financial crisis; Merger development; Affecting factors;
    All these keywords.

    JEL classification:

    • E30 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - General (includes Measurement and Data)
    • F01 - International Economics - - General - - - Global Outlook
    • G30 - Financial Economics - - Corporate Finance and Governance - - - General
    • M21 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - Business Economics

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