Measuring Dynamic Capabilities-Based Synergies in M&A Deals with Real Options: Amazon’s Acquisition of Whole Food

Andrejs Čirjevskis ()
Additional contact information
Andrejs Čirjevskis: RISEBA University of Applied Sciences in Business, Arts and Technology

A chapter in Advances in Longitudinal Data Methods in Applied Economic Research, 2021, pp 43-56 from Springer

Abstract: Abstract Acquisition-based dynamic capabilities have become well established as a new imperative for organizing M&A processes. However, understanding the full benefits and possible limits of real options applications to measure a dynamic capability-based (managerial) synergy remains a challenge. The paper draws on real options theory to describe some of these benefits and limits to value a synergy in highly strategic and not standard M&A deals. The acquisition of Whole Foods by Amazon makes it possible to combine two streams of research on dynamic capabilities and real options in a cohesive whole. More specifically, the author develops three propositions to justify the role of dynamic capabilities as antecedents of success or failures of M&A deals and to demonstrate real options application to measure synergies of M&A deals.

Keywords: Merger and acquisition; Dynamic capabilities; Synergy; Real options (search for similar items in EconPapers)
Date: 2021
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:prbchp:978-3-030-63970-9_3

Ordering information: This item can be ordered from
http://www.springer.com/9783030639709

DOI: 10.1007/978-3-030-63970-9_3

Access Statistics for this chapter

More chapters in Springer Proceedings in Business and Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().