Integrating acquisitions across borders: influencing factors, processes and outcomes

This study proposes a model to examine the nature of the process of cross-border acquisition integration, and the forces shaping it. Previous research has analysed individual aspects of the process, but seldom considered the process in its entirety. Drawing on insights from the growing institutionalist research on multinationals, acquisition integration is conceptualised as the end result of a process where both the multinational and the acquired firm, each embedded in a specific national and organisational context, compete for influence and control. A model is developed, specifying the factors which will influence this process. A detailed longitudinal study of the integration of a cross-border acquisition by a French multinational telecommunications company is presented to illustrate this model. The theoretical and practical implications of this research are discussed.