This book addresses three important areas of concern for managers and management researchers. What are the management challenges involved in the acquisition of a foreign subsidiary? Which post-acquisition changes lead to better performance among acquired companies? What scope is there for the retention of national styles of management when building international networks through acquisition?
In addressing these questions, the authors examine acquisitions by foreign companies in the UK. They discuss the theoretical background to the debate over the significance of national management practices as opposed to international norms of 'best practice' shaped by global forces transcending national boundaries. They then compare and contrast the management practices of the five countries from which the acquirers covered in this book originate: the UK, the USA, Japan, France, and Germany.
The authors' research indicates that while considerable convergence is taking place on many dimensions of management practice, distinct national management styles still exist among acquiring companies. The findings also show that although some policies are generally associated with better post-acquisition performance across the board, no one national approach is more successful than another, so long as it is implemented with confidence, determination, and consistency. Failure tends to follow from a lack of these qualities, rather than from having the 'wrong' management style.
How much does national culture and management style influence acquisitions and post-acquisition management? The book explores the different ways in which companies from varying cultures and nationalities approach the task of integrating new UK acquisitions into their group, and examines the question of whether any one method of integration seems to be superior to another in terms of resultant performance of the newly-acquired subsidiary.
John Child ... David Faulkner and Robert Pitkethy ... add immensely by their book to our knowledge of the impact of nationality on international acquisitions ... the book presents one of the stronges arguments in mergers and acquisitions literature for how to manage cross-cultural differences.
