Author(s)

Yingying Wang

Corresponding Author

Yingying Wang

Abstract

Identifying the key success factors in M&A is imperative for businesses to navigate corporate consolidation's complex terrain. Understanding these factors not only mitigates risks but also maximizes the likelihood of positive outcomes, including increased shareholder value, operational efficiencies, and sustainable growth. M&A activities are fraught with challenges and risks, ranging from cultural clashes and integration complexities to legal and financial hurdles. Failing to address these challenges effectively can lead to financial losses, diminished brand reputation, and operational disruptions, highlighting the critical need for a comprehensive analysis of success factors. This study holds significant implications for the field of corporate finance. By unraveling the nuanced factors that underpin successful M&A transactions, the research contributes valuable insights to financial analysts, investment bankers, and corporate strategists. These insights can inform decision-making processes, enabling stakeholders to execute M&A deals with greater precision and foresight. For businesses contemplating M&A activities, this research provides a roadmap for navigating the complexities involved, reducing uncertainties, and optimizing the synergistic potential of such endeavors. Investors can utilize the findings to assess the viability and potential return on investment of companies engaged in M&A activities. Additionally, stakeholders, including employees and customers, benefit from a stable post-M&A environment, ensuring continuity, job security, and consistent product/service quality.

Keywords

Mergers and acquisitions; Business strategies; Agency theory; Success factors