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External Takeover and Regional Linkage Adjustment: The Case of Scotch Whisky

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  • J H Love

    (Department of Economics, and Fraser of Allander Institute, University of Strathclyde, Glasgow G4 0LN, Scotland)

Abstract

A model is developed for estimating the regional output and employment effects of linkage and final demand changes experienced by externally acquired companies. The model is illustrated using examples from the Scotch whisky industry. Systematically negative linkage effects of takeover are found, but the overall size of these effects on regional economic activity is invariably lower than the effect of takeover on final demand.

Suggested Citation

  • J H Love, 1990. "External Takeover and Regional Linkage Adjustment: The Case of Scotch Whisky," Environment and Planning A, , vol. 22(1), pages 101-118, January.
    • Handle: RePEc:sae:envira:v:22:y:1990:i:1:p:101-118
    DOI: 10.1068/a220101
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    References listed on IDEAS

    as
    1. McDermott, Philip, 1979. "Multinational Manufacturing Firms and Regional Development: External Control in the Scottish Electronics Industry," Scottish Journal of Political Economy, Scottish Economic Society, vol. 26(3), pages 287-306, November.
    2. Ashcroft, Brian K, 1988. "External Takeovers in Scottish Manufacturing: The Effect on Local Linkages and Corporate Functions," Scottish Journal of Political Economy, Scottish Economic Society, vol. 35(2), pages 129-148, May.
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    Cited by:

    1. Andy Cosh & Alan Hughes, 1996. "International merger activity and the national regulation of mergers: A UK perspective," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 23(3), pages 279-302, October.

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