Maturing born globals and their acquisitive behaviour

Stine Øyna, Tamar Almor, B. Elango and Shlomo Y. Tarba

International Business Review, 2018, vol. 27, issue 3, 714-725

Abstract: Born globals are becoming more common in our interconnected world. While a body of knowledge exists regarding the establishment and early growth of born globals, we know less about how these companies develop. Arguing that acquiring new knowledge, technologies, and products will enable companies to survive beyond their initial success, the current study specifically aims to explore the value of technology-motivated acquisitions, and their effect on performance. To this end, the study employs a hybrid methodology; statistically studying 108 acquisitions conducted by 45 maturing, technology-based born globals in Israel over a period of 10 years, and further substantiate the findings with an in-depth case analysis of four sample companies. The results indicate that technology-motivated acquisitions are valuable in terms of both financial performance and independent survival, but that there likely exists an optimal threshold, indicating that such a strategy, though beneficial, should be carefully managed.

Keywords: Born globals; Mergers; Acquisitions; High-tech; Israel (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0969593117301221
Full text for ScienceDirect subscribers only

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:eee:iburev:v:27:y:2018:i:3:p:714-725

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/journaldescription.cws_home/133/bibliographic
http://www.elsevier. ... me/133/bibliographic

DOI: 10.1016/j.ibusrev.2017.12.002

Access Statistics for this article

International Business Review is currently edited by P. Ghauri

More articles in International Business Review from Elsevier
Bibliographic data for series maintained by Catherine Liu ().