How communication approaches impact mergers and acquisitions outcomes. Issue 20 (12th November 2016)

• Record Type: Journal Article
• Authors: Angwin, Duncan N.; Mellahi, Kamel; Gomes, Emanuel; Peter, Emmanuel
• Is Part Of: International journal of human resource management. Volume 27:Issue 20(2016)
• Page Start: 2370
• Page End: 2397
• Publication Date: 2016-11-12
• Subjects: Africa -- banks -- commitment -- communications -- M&A -- Nigeria -- strategic practices -- typology; Personnel management -- Periodicals; Human capital -- Management -- Periodicals; 658.3
• DOI: 10.1080/09585192.2014.985330
• Languages: English
• ISSNs: 0958-5192

Abstract

Abstract : Communication is generally viewed as a critical component in mergers and acquisitions (M&A) performance, yet surprisingly little research has examined the link between different communication approaches and M&A outcomes. This paper provides a systematic empirical study to evaluate the link between communication approaches and M&As outcome. Specifically, a typology is created to examine interaction between the process and content of communication and M&A outcomes, in terms of employee commitment to merged organization strategy and M&A survival. Using data drawn from a single clearly defined M&A wave in the Nigerian banking sector, different communication practices are related to M&A outcomes. The findings are the first to show the effects of communications practices in African M&A and answer the calls for extending M&A research beyond western developed countries. They confirm the importance of communication practices in M&A, extend earlier findings on the importance of post-acquisition integration communication in US and European contexts and show the importance of communicating throughout the whole M&A process.