Location Determinants of Mergers-Acquisitions in Emerging Economies
This research examines the characteristics of emerging economies that encourage companies to conduct mergers-acquisitions. We study four dimensions associated with the specifics of the targeted countries: spatial configuration, economic systems, political institutions and social institutions. Our sample covers 395 mergers-acquisitions conducted by French multinational companies. The findings show that these four dimensions have a significant influence on location choices. The host country’s quality of political institutions has a strong positive impact on the development of mergers-acquisitions, whereas economic growth seems to restrain this strategic choice.