TY - JOUR
T1 - Cross-border acquisitions by Indian multinationals
T2 - Asset exploitation or asset augmentation?
AU - Buckley, Peter J.
AU - Munjal, Surender
AU - Enderwick, Peter
AU - Forsans, Nicolas
PY - 2016/8/1
Y1 - 2016/8/1
N2 - This paper examines cross-border acquisitions by Indian multinationals and places them in the context of Emerging Country Multinationals. It tests hypotheses based on internalisation theory and the resource based view to ask if these firms are asset exploiting or asset augmenting in their takeover behaviour. Internal financial and technological resources are found to be important explanatory variables, as is asset seeking; of brands, technology and market access. The home environment in India allows firms to amass profits, to manage in a culturally diverse setting and to develop asset bundling skills. All these factors are significant in determining cross-border acquisitions.
AB - This paper examines cross-border acquisitions by Indian multinationals and places them in the context of Emerging Country Multinationals. It tests hypotheses based on internalisation theory and the resource based view to ask if these firms are asset exploiting or asset augmenting in their takeover behaviour. Internal financial and technological resources are found to be important explanatory variables, as is asset seeking; of brands, technology and market access. The home environment in India allows firms to amass profits, to manage in a culturally diverse setting and to develop asset bundling skills. All these factors are significant in determining cross-border acquisitions.
KW - Asset augmentation
KW - Asset seeking foreign direct investment
KW - Cross-border acquisitions
KW - Firm specific assets
KW - India
KW - Multinationals from emerging countries
UR - http://www.scopus.com/inward/record.url?scp=84949508442&partnerID=8YFLogxK
UR - https://www.sciencedirect.com/science/article/abs/pii/S0969593115300354?via%3Dihub
U2 - 10.1016/j.ibusrev.2015.10.006
DO - 10.1016/j.ibusrev.2015.10.006
M3 - Article
AN - SCOPUS:84949508442
SN - 0969-5931
VL - 25
SP - 986
EP - 996
JO - International Business Review
JF - International Business Review
IS - 4
ER -