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Negotiating M&As under uncertainty: The influence of managerial flexibility on the first-mover advantage
Authors:Elmar Lukas  Andreas Welling
Institution:1. Economics Institute, Brandenburg University of Technology, Cottbus, Germany;2. Faculty of Economics and Management, Otto-von-Guericke University Magdeburg, Magdeburg, Germany;1. School of Economics, Faculty of Economics and Management, Universiti Kebangsaan Malaysia, Malaysia;2. College of Business, North Dakota State University, United States;3. Department of Economics, University of Wisconsin-Milwaukee, United States;1. School of Economics and Finance, University of St Andrews, Scotland, UK;2. School of Accounting and Finance, Hong Kong Polytechnic University, Hung Hom, Kowloon, Hong Kong;3. Department of Accounting and Finance, Strathclyde Business School, University of Strathclyde, Scotland, UK
Abstract:Using a dynamic real options approach we show that managerial flexibility is strengthening the first-mover advantage in bargaining M&As by undermining the bargaining power of the second mover.
Keywords:
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