Management of Cross Border Mergers and Acquisitions

This research thesis analyses the motivation behind the cross-border mergers and acquisitions deals. How mergers and acquisitions of new knowledge and assets, enhance business with expansion into new streams and international markets. Also, how mega deals help them to gain a power in the international markets. The research focuses on understanding the interrelation between motivations which are contributing to M&A activities and how issues like cultural differences and different management styles are overcome by these firms in cross-border settings. Chapter 1, gives a background knowledge on cross-border M&A as popular internationalization strategy choice, continuing with describing the process in Finnish and Japanese cultural context, and how these deals are proceeding in particular cases. Chapter 2, reviews the important findings and touches the common gaps or aspects those are not studied extensively, does play a key role in the success and failure of M&A deals. A methodology is presented in chapter 3, presenting the hurdles faced by many in this research field. Chapter 4, present the case study is presented to show how M&A can play an important role in structuring the entire economy of Japan. At last chapter 5, presents the evidence, if cultural, HRM and geographical aspects really contribute to the success of M&A, based on which managerial implications are suggested and propositions are built for future research references.

Why are some companies more successful than others? An exploration into organizational culture and dynamic capabilities

Why are some companies more successful than others? This thesis approaches the question by enlisting theoretical frameworks that explain the performance with internal factors, deriving from the resource-based view, namely the dynamic capabilities approach. To deepen the understanding of the drivers and barriers towards developing these higher order routines aiming at improving the operational level routines, this thesis explores the organisational culture and identity research for the microfoundational antecedents that might shed light on the formation of the dynamic capabilities. The dynamic capabilities framework in this thesis strives to take the theoretical concept closer to practical applicability. This is achieved through creation of a dynamic capabilities matrix, consisting of four dimensions often encountered in dynamic capabilities literature. The quadrants are formed along internal-external and resources-abilities axes, and consist of Sensing, Learning, Reconfiguration and Partnering facets. A key element of this thesis is the reality continuum, which illustrates the different levels of reality inherent in any entity of human individuals. The theoretical framework constructed in the thesis suggests a link between the collective but constructivist understanding of the organisation and both the operational and higher level routines, evident in the more positivist realm. The findings from three different case organisations suggest that the constructivist assumptions inherent to an organisation function as a generative base for both drivers and barriers towards developing dynamic capabilities. From each organisation one core assumption is scrutinized to identify its connections to the four dimensions of the dynamic capabilities. These connections take the form of drivers or barriers – or have the possibility to develop into one or the other. The main contribution of this thesis is to show that one key for an organisation to perform well in a turbulent setting, is to understand the different levels of realities inherent in any group of people. Recognising the intangible levels gives an advantage in the tangible ones.