A business acquisition means the process of achieving either complete or partial control of one business by another business for certain strategic objectives. In acquisitions, the ownership is being transferred from one firm to another firm.
Acquisition not only helps the…
rategic capability which includes a typical know-how , a set of skills , or a special insight that creates high returns and competitive advantage , fosters organizational agility that is difficult to duplicate.( Bruner, 2004,p.914).
A study by McKinsey Consultants has revealed that companies can undertake non-synergic acquisition deals to their advantages. It has found that a diverse group of business organizations like Sara Lee, Thermo Electron and Clayton, Dubliner & Rice have developed astonishingly and seized continued returns of 18 % to 35% per annum by venturing into non-synergic business acquisitions. Further, a study conducted by Harvard Business School also corroborates that companies can venture into non-synergistic advantageously.
Hyan (1989) revealed that about fifty percent of all acquisitions are planned to be only partially taxable or to be completely tax-free. Gonzalez et al (1998) held that more probable to be targets of acquisition by foreign companies were undervalued U.S companies. Kish and Vasconcelos (1998) viewed that a formidable relationship existed between exchange rate movements and acquisition activity. (Bruner, 2004, p107).
As competitive businesses tackle globalization while attempting to remain competitive and to maintain productivity when confronted with emerging markets, they encounter demoralizing difficulties particularly when attempting to expand internationally. (Sinha , Khanna & Phalepu 2005). Acquisition has become an active strategy nowadays as it enables the fear of being taken over and corporate revitalization keeps managers on their toes. (Japanese firms 2007). (Lloyd, 2006, p1).
As per various earlier empirical studies, a business acquisition helps to attain a strategic capability which includes a typical know-how, a set of skills, or a special insight that creates high returns and competitive advantage, fosters organizational agility that is difficult to duplicate.
Whether the acquisitions have transformed the ...
Cite this document
(“Accounting field Essay Example | Topics and Well Written Essays - 2500 words”, n.d.)
Retrieved from https://studentshare.net/miscellaneous/394128-accounting-field
(Accounting Field Essay Example | Topics and Well Written Essays - 2500 Words)
“Accounting Field Essay Example | Topics and Well Written Essays - 2500 Words”, n.d. https://studentshare.net/miscellaneous/394128-accounting-field.
In the early stages the business community talked about achieving harmonization among accounting standards. The goal of harmonization was to reduce differences among accounting principles used in major capital markets around the globe (Fasb, 2011). Back in 1973 the International Accounting Standards Committee was created.
Accounting research happens to be one of the most important and widely recognised fields of research because of its relevance to the determination and evaluation of several important economic and social factors. The accounting theories can play a significant role in informing investors, individuals, practitioners as well as corporations regarding the capital market functioning, stock price movements, investor reaction and impact of information etc.
ications such as a Certified Public Accountant (CPA) or Certified Financial Planner (CFP) can help aspiring business workers increase their income and better serve their customers. Over the years the consumer has become a bigger priority due to the global competition. If one
A close reading of the article shows that it is related to the accounting field. It specifically focuses on insurance, investments and companies among others and business minded people would find this article very helpful since it
Strategic management involves the longer-term have a significant effect on Tesco, a company listed in the United Kingdom Stock Exchange. The research focuses on the priceless use of the strategic management accounting process to
For decades, it has been argued that organisational structures through which accountants work, lead to conflict between business and professional values. It is often observed that organisations basically provide less freedom to accountants