Title :
On Mergers & Acquisitions performance of Information Technology Sector in short-term perspective
Author :
Fu-zhong, Chen ; Qiu-jing, Wu ; Jian-ling, Wang ; Qian-ru, Mao
Author_Institution :
Sch. of Econ. & Manage., Nanjing Univ. of Aeronaut. & Astronaut., Nanjing, China
Abstract :
Recently, the development of network industry has been hotly discussed in theoretical circles. And the research on network industry mergers & acquisitions (M&A) performance has become an urgent problem to be resolved seriously. The listed companies in information technology sector occurred M&A events from 2001 to 2007 are chosen as samples, and are applied in research, event study to analyze their M&A performance from short-term perspective. The results show that: (i) from all M&A samples, the market response is active, which brings positive return in spite of lag response; (ii) the market response referring to related transaction events is indifferent, and (iii) the market response is different because of different products´ intangible degree. The higher degree of the intangibility the weaker the market response is. Finally, opinions and suggestions are proposed on the basis of practical situations.
Keywords :
corporate acquisitions; marketing; socio-economic effects; information technology sector; network industry merger and acquisition; product intangible degree; Communication switching; Corporate acquisitions; IEEE news; Industrial economics; Information analysis; Information technology; Intelligent systems; Merging; Performance analysis; Production systems;
Conference_Titel :
Grey Systems and Intelligent Services, 2009. GSIS 2009. IEEE International Conference on
Conference_Location :
Nanjing
Print_ISBN :
978-1-4244-4914-9
Electronic_ISBN :
978-1-4244-4916-3
DOI :
10.1109/GSIS.2009.5408048