Acquisition Experience, Board Characteristics, and Acquisition Behavior: Evidence from Taiwanese Electronics Industries

• Main Authors: Chung-Ping Fang, 方中平
• Other Authors: Yu-Shu Peng
• Format: Others
• Language: en_US
• Published: 2009
• Online Access: http://ndltd.ncl.edu.tw/handle/43769146616553339240

碩士 === 國立東華大學 === 國際企業學系 === 97 === Literature on acquisition has focused more on the consequence after an acquisition event, paying less attention to what factors determine the motive for initiating the acquisition strategy of a firm. Through the lens of organizational learning and corporate governance theories, we examine whether the prior acquisition experience and board characteristics affect firms’ acquisition behavior. Hypotheses are tested on a sample of 92 acquisition events of Taiwanese electronics firms during the period from 1997 to 2007 by employing the survival function model. We find that business acquisition experiences positively influence the inclination of the acquirer adopting a subsequent acquisition. Board characteristics were not found to be associated with the likelihood of the acquirer making a subsequent acquisition. These findings provide theoretical and managerial implications for organizational learning and corporate governance theories in general and acquisition management in particular.