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Strategies for Growth Through Mergers and Acquisitions: Evidence From Russian Companies

Author

Listed:
  • Galina E. Besstremyannaya

    (National Research University Higher School of Economics, Moscow 101000, Russia)

Abstract

The paper contrasts the drivers of mergers and acquisitions in Russia and other countries. Using the results of CEO surveys and surveys of the participants of the M&A markets in Russia and globally, the author compares the most prevalent strategies for company growth and restructuring. The paper points to economic evidence that insufficient development of competition and various issues in corporate finance may be linked to a relatively low predominance of M&A deals in Russia. In particular, this relates to the lack of deals, aimed at acquiring assets of the target. At the same time, the data for the Russian M&A market in 2014–2018 indicates relatively high competition in the information technology, and a growth in the number and the total value of M&A deals in this sector. Additionally, the overall Russian M&A market demonstrates a decrease in the average deal value, and there is a steady fall in the share of the oil and gas sector.

Suggested Citation

  • Galina E. Besstremyannaya, 2019. "Strategies for Growth Through Mergers and Acquisitions: Evidence From Russian Companies," Finansovyj žhurnal — Financial Journal, Financial Research Institute, Moscow 125375, Russia, issue 4, pages 50-59, August.
    • Handle: RePEc:fru:finjrn:190404:p:50-49
    DOI: 10.31107/2075-1990-2019-4-50-59
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    References listed on IDEAS

    as
    1. Gordon M. Phillips & Alexei Zhdanov, 2013. "R&D and the Incentives from Merger and Acquisition Activity," The Review of Financial Studies, Society for Financial Studies, vol. 26(1), pages 34-78.
    2. repec:oup:rfinst:v:26:y::i:1:p:34-78 is not listed on IDEAS
    3. Aghion, Philippe & Howitt, Peter, 1992. "A Model of Growth through Creative Destruction," Econometrica, Econometric Society, vol. 60(2), pages 323-351, March.
    4. David J. Teece, 2003. "Towards an Economic Theory of the Multiproduct Firm," World Scientific Book Chapters, in: Essays In Technology Management And Policy Selected Papers of David J Teece, chapter 15, pages 419-446, World Scientific Publishing Co. Pte. Ltd..
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    economic growth; competition; innovation; mergers and acquisitions; corporate finance;
    All these keywords.

    JEL classification:

    • C34 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Truncated and Censored Models; Switching Regression Models
    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity

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