Absorptive Capacity, Competitive Advantage, and Cross-border M&A from Chinese Companies
Increasingly, Chinese companies are using cross-border merger and acquisition (M&A) to source knowledge or strategic assets in order to address their competitive disadvantages. However, there is scant research on the performance of this resource-driven M&A strategy. We fill in the research gap by addressing a fundamental question: Can knowledge or strategic assets be effectively acquired by Chinese firms? Building on the literature of absorptive capacity, we propose a theoretical model on how a firms absorptive capacity influences its a bility to identify, integrate, and apply knowledge into commercial use for the purpose of enhancing its competitive advantages. Within the framework, we comparatively examine two influential Chinese cross-border M&A deals. We conclude that Chinese companies may use foreign M&As as a vehicle to acquire strategic assets but the actual outcomes will be contingent on the acquiring firms absorptive capacity at multi-dimension levels, thus drawing strategic implications to other emerging market firms.
Cross-border M&A Knowledge/Strategic Assets Absorptive Capacity Chinese Companies Competitive Advantage
Ping DENG
John E.Simon School of Business,Maryville University of St.Louis,U.S.A.
国际会议
南京
英文
415-425
2008-06-06（万方平台首次上网日期，不代表论文的发表时间）