The pre-acquisition evaluation of target firms and cross border acquisition performance

The paper investigates the impact of the pre-acquisition evaluation of target firms on the performance of cross border acquisitions using data from a sample of acquisitions made by UK firms. The findings provide reasonable support for organizational learning theory, suggesting that the more the acquiring firm learns about the target firm then the better will be the acquisition performance. Specifically, we find support for the hypothesis that thorough evaluation of the strategic and cultural fit positively influences cross border acquisition success. Further, the analysis reveals that detailed evaluation of the target firm's employee and business capability improves acquisition performance. The managerial implications of the findings and directions for future research are also discussed.     

Harvest contract price volatility for cotton

Changes in agricultural and international trade policy have increased attention to issues of price volatility and risk management. Previous work in the area of price volatility has typically focused on grains, with little work dealing with cotton. The objective of this analysis was to examine the determinants of price volatility for cotton, focusing on the growing season volatility of the harvest contract. Different econometric techniques, including ARCH/GARCH, were employed to estimate the effects of a set of variables on price volatility. The potential for a nonlinear relationship between price and volatility was examined. Findings suggest a significant seasonal pattern to volatility as well as a nonlinear relationship between price and volatility. The results also suggest that cotton price volatility has not significantly changed with respect to changes in agricultural policy. © 1999 John Wiley & Sons, Inc. Jrl Fut Mark 19: 717–733, 1999     

An examination of qualitative vs. quantitative elaboration likelihood effects

Researchers have investigated a number of different psychological constructs that occur as a result of advertising exposure and that contribute toward the formation of attitudes toward the ad (A_ad) and brand (A_b). The dual mediation model (DMM), which defines hypothesized interrelationships among these constructs, has been well supported in previous research, but fails to empirically distinguish between the quantitative versus qualitative effects that can occur as a result of increased elaboration. To address this issue, the author incorporates cognitive resource matching theory into the DMM framework, arguing that construct means, the relative proportions of those means, and the links among model constructs are moderated by level of processing motivation. The results of empirical testing of a modified version of the DMM under alternate resource conditions are consistent with this theoretical explanation. © 2005 Wiley Periodicals, Inc.     

Transnational corporations and the global water industry

This article takes stock of foreign direct investment (FDI) undertaken by transnational corporations (TNCs) in the global water industry and examines the evidence on the impact of their operations in host countries. Between 1996 and 2006, approximately $12 billion were invested in water‐related sectors, of which 75% came from the private sector (including TNCs) from just four countries, while tentative calculations put the global share of investment by TNCs at 56%. Presently, 243 enterprises have interests in 409 water projects in 53 host countries. However, just six countries have received over half of the total investment. A survey of the evidence reports mixed results of the impact of TNCs' investment in host countries. It is argued that the biggest issue here is pricing, a dilemma that, alongside the privatization issue of host countries' water industry, is discussed in the concluding section. © 2011 Wiley Periodicals, Inc.     

Matrix Representation of Conflict Resolution in Multiple-Decision-Maker Graph Models with Preference Uncertainty

Explicit matrix representations of solution concepts in a graph model of a multiple-decision-maker conflict with preference uncertainty are developed. In a graph model, the relative preferences of each DM over the available states are crucial in determining which states are stable according to any stability definition (solution concept). Unfortunately, it is often difficult to obtain accurate preference information in practical cases, so models that allow preference uncertainty can be very useful. In this work, stability definitions are extended to apply to graph models with this feature. The extension is easiest to implement using the matrix representation of a conflict model, which was developed to ease the coding of logically-defined stability definitions. Another benefit of matrix representation is that it facilitates modification and extension of the definitions.     

Land Tenure and the Adoption of Conservation Practices

We use a logit adoption model with data on 941 U.S. corn producers from the 1996 Agricultural Resource Management Study to analyze the influence of land tenure on the adoption of conservation practices. We extend previous analyses by distinguishing renters according to lease type and by distinguishing practices according to the timing of costs and returns. We find that cash-renters are less likely than owner-operators to use conservation tillage, but share-renters are not. Both cash-renters and share-renters are less likely than owner-operators to adopt practices that provide benefits only over the longer term (grassed waterways, stripcropping, and contour farming).     

National and corporate culture differences in international strategic alliances: Perceptions of Chinese partners

We consider the effect of national culture and corporate culture differences on the management of international strategic alliances (ISAs). Findings are based on the perceptions of a relatively large sample of Chinese partner firms in ISAs with foreign partners. We find that differences in national culture and corporate culture have contributed to a similar extent to differing views on ISA management. However, findings indicate that differences in national culture and corporate culture have a differential impact on aspects of ISA management. Perception of national culture and corporate culture differences and the contribution of those differences to differing views on the management of ISAs are greater in relatively younger ISAs compared with older ISAs. Managers in equity-based ISAs report fewer problems with culture related impediments to managing ISAs than managers in non-equity-based ISAs.