Ã¯Â¿Â½PAGE Ã¯Â¿Â½ ADIDAS ACQUISITION OF REEBOK
Adidas acquisition of Reebok
Research Methods and Modeling Techniques
TABLE OF CONTENT
ADIDAS AND REEBOK BACKGROUNDÃ¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦ 2-4
PROBLEM STATEMENTÃ¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦.. 4-5
LITEREATURE REVIEWÃ¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦Ã¢ÂÂ¦.. 6-8
ADIDAS AND REEBOK BACKGROUND
Mergers and acquisitions (M&As) are important modes through which firms undertake their domestic and international strategies. M&As research is important because these transactions have significant implications for firms' performance (Laamanen & Keil, 2008). When a firm carries out an international M&A it gains full control over the foreign unit (Arregle, Hebert & Beamish, 2006). In addition, once established, these transactions are difficult to change, because they have long-term consequences for the firm (Capron & Pistre, 2002). Given its high relevance, numerous empirical studies have addressed the M&As research such as the overview by Noe & Rebello in 2006, as well as theoretical articles written by Chi in 2000 and Shaver in 2006.
However, even after decades of research on this issue, the empirical research provides no clear consensus on the impact of these transactions on the firms' performance. For instance, Child, Faulkner and Pitkethly (2001) found that cultural differences are likely to have a negative impact on the firms' post-acquisition performance. According to Morosini, Shane and Singh (1998) international M&As have become major strategic tools for corporate growth of multinational corporations. M&As increase the efficiency and effectiveness of whole industries, and also affects individual companies' competitive ability (Hitt, Ireland & Harrison, 2001). Most of the times M&As are the only way to acquire resources and knowledge that are not available in the market.
A transaction is known as an acquisition when a buyer acquires all or part of the assets or businesses of a selling company. In case the target company is purchased despite its active...