Got a tricky question? Receive an answer from students like you! Try us!

The Efficiency Effects of Mergers and Acquisitions in Malaysian and US Banking Institutions - Term Paper Example

Only on StudentShare
Author : leslycrona

Summary

The Efficiency Effects of Mergers and Acquisitions in Malaysian and US Banking Institutions Table of Contents 1.Introduction 3 2.Overview of Malaysian and US Banking Sector 4 3.Mergers and Acquisitions in Malaysian and US Banking Institutions 7 4.Effect of Mergers and Acquisitions in Banking Institution along with the Financial Market of Malaysia and US 8 5.Conclusion 10 Reference 11 1…

Extract of sample
The Efficiency Effects of Mergers and Acquisitions in Malaysian and US Banking Institutions

The effect of globalisation on trade and business is the most prominent aspects and this has created the impotence of deregulation for encouraging economic growth. These market deregulations have intensified the market competition and the existing players are trying to gain upper hand position in the market. In this regard, Hope and Maeleng have mentioned free trades as “competition–enhancing devise” (Hope and Maeleng, p.61). In such competitive business environment, every organisation is trying to be larger in terms of value, market size, consumer base etc. However, achieving rapid growth is tedious and long term process that may cause in not catering the available opportunities before rivals and this process of growth is known as organic growth. On the other hand, mergers & acquisitions (M&A) leads to achieve a rapid organisational growth. Today, M&A has become very popular strategies for the business and market expansion in domestic and in international market. However, M&A is riskier strategy as it influences the engaged companies as well as the entire market (Hagelm p.155-157). This paper will present a discussion on the effect of M&A on banking institutions and financial markets of Malaysia. 2. ...
Download paper

Related Essays

Mergers and acquisitions as a response to the deregulation of the electric power industry
Mergers and acquisitions are such modes of growth. Mergers occur when two firms of equal standing concur to combine their operations under one shareholder group; acquisition is when one firm outrightly purchases another and becomes its majority shareholder. As to whether they combine operations or not and the manner they choose to do so are a matter of strategic determination, but it does not detract from the fact of the merger or acquisition as a matter of ownership (Daniel & Metcalf, 2001, p. 216). This report examines the fundamental theories behind mergers and acquisitions and gives a…
14 pages (3514 words)
Mergers and acquisitions
The paper affirms that there are many theories and motives that have given us useful reasons why mergers and acquisitions that take place. Williamson proposed the concept of transaction cost economics (TCE) through which an organization can find out ways of optimizing its activities so that the production and transaction costs are minimized. He proposed that it is generally cheaper to buy a generic product from an outsider which is having its core competency in the same area. However, firms might be interested in internalizing the above exchange. Therefore, firms might want to acquire other…
12 pages (3012 words)
mergers and acquisitions
Case examples about the impacts of government regulation of mergers and acquisitions will be drawn from USA, Europe and China. The paper is specifically concerned with analysing current issues pertaining to government regulation of mergers and acquisitions in China in comparison to the other developed countries. According to Jackson & Schuler (2000), in a merger, the two firms are supposedly on equal footing after they have been merged where one new company will continue to exist while in an acquisition, it is clear that one firm will take control of the other’s resources. There are various…
10 pages (2510 words)
mergers and acquisitions-B
Are any Sell-Offs Likely? 10 7. Risk – Given that the Majority of Takeovers Destroy Shareholder Value, What Are the Major Risks? 11 Conclusion 13 References 14 Introduction Evidences reveal that M&As can be quite risky to lead the pathway of the acquiring company’s destruction and on the other hand, be highly beneficial to assist the company in the attainment of its long-term objectives. Despite the immense risk, companies opt for M&As in order to gain the benefits of operational leap, integration, larger customer base, channels and higher competencies (Galpin & Herdon, 2007). One of the…
10 pages (2510 words)
Mergers and Acquisitions Case Study
This paper stresses that the acquisition was not difficult to integrate, and it is improbable that SABMiller would dispose the acquired firm. The paper has established that the acquisition heralded benefits to the SABMiller’s shareholders given that the acquisition aligned with the firm’s strategic priorities, and handed the firm with a leading position in the stable and profitable Australia beer industry. SABMiller expects Foster’s to become a critical part of its business via the application of its commercial capabilities and global scale, as well as by building on the initiatives put…
9 pages (2259 words)
Mergers and acquisitions
This paper seeks to examine examples of companies in the USA that were involved in a merger. Mergers often look forward to ensuring profits rather than losses in the business combination. The selected company that involved itself in a merger is the Continental Airlines Company. The company was involved in the merger with another airline company. The two companies were the entities in the merger. An entity in business or in mergers and acquisitions (M & A) describes the organization, company or corporation that is acquired by another organization, company or corporation or that merges with the…
10 pages (2510 words)
Mergers and Acquisitions
The aim of the study is to reveal the impact of merger and acquisition on the performance of companies in UK which will be achieved by analysing the financial performance of sample companies involved before and after M&A. The study will analyse the financial statements of randomly selected companies before and after merger so as to reveal the true impact from such merger or acquisition. The study begins with an introduction and initial discussion of background followed by a detailed literature review. The research methodology is designed so as to facilitate analysis of secondary data collected…
38 pages (9538 words)