Angwin, Duncan and Meadows, Maureen. (2009) The choice of insider or outsider top executives in acquired companies. Long Range Planning, Vol.42 (No.3). pp. 359-389. ISSN 0024-6301

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Abstract

There is considerable debate amongst academics and practitioners over whether top executives of acquired or merged companies should stay or go, post-deal, as studies exploring the link with organisational performance show mixed results. This may in part be due to such studies failing to recognise that there are a number of distinct post-acquisition strategies which may require the deployment of different types of top executive. This paper addresses this limitation by bringing together the longstanding Insider/Outsider debate with a post-acquisition integration framework, in order to investigate whether there is a link between top management type and post-acquisition integration strategy. Using a dual methodology of survey and cases drawing on UK M&A data, clear associations are found between top executive type and particular post-acquisition styles. Underlying these patterns, the value-creating/value-capturing distinction of the Resource-Based View appears to have a greater influence over top executive deployment than do issues of Organisational Fit. This suggests strategic intentions have ascendancy over organisational constraints in the selection of top executives for managing post-acquisition integration.

Item Type:	Journal Article
Subjects:	H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management
Divisions:	Faculty of Social Sciences > Warwick Business School
Library of Congress Subject Headings (LCSH):	Consolidation and merger of corporations, Executives -- Dismissal of, Strategic planning, Organizational change
Journal or Publication Title:	Long Range Planning
Publisher:	Elsevier
ISSN:	0024-6301
Date:	June 2009
Volume:	Vol.42
Number:	No.3
Page Range:	pp. 359-389
Identification Number:	10.1016/j.lrp.2009.05.005
Status:	Peer Reviewed
Access rights to Published version:	Open Access
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URI:	http://wrap.warwick.ac.uk/id/eprint/2484

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