Date of Award
Master of Science
Most mergers and acquisitions fail to meet the original goals set forth for engaging in the merger. Merger failure is the failure to meet these goals in a reasonable time frame, usually five years. As a result, most mergers and acquisitions fail.
There are several causes of merger failure which are described in detail. The most significant causes are that most corporations merge or acquire for the wrong reasons, and that they fail to do adequate strategic planning before and during the merger process . As a result, up to ninety percent of the mergers and acquisitions consummated during the current "merger wave" have or will fail.
This paper described the forces which drive mergers and acquisitions, the cause and effect relationships of merger failure and identifies several key steps which can be taken to offset the likelihood of merger failure.
Chesky, Sheldon R., "Why (Most) Mergers and Acquisitions Fail: The Causes, The Effects, and How to Lessen the Risk of Failure" (1989). Theses. 511.
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License