Competition for External Resources, Entry Order, and the Stock Market Reaction to Alliances and Acquisitions

We analyze how entry order in a new field influences the stock market reaction to strategic alliances and acquisitions aimed at expanding firm boundaries. We argue that alliances would be more valued by investors at the early stages of a process of convergence between two markets, whereas acquisitions would be more valued in the later stages. Using a sample of alliances and acquisitions carried out by European telecom firms, our hypotheses have been confirmed.

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Year of publication:	2005
Authors:	Sánchez‐Lorda, Pablo ; García‐Canal, Esteban
Published in:	Management Research: Journal of the Iberoamerican Academy of Management. - Emerald Group Publishing Limited, ISSN 1558-0946, ZDB-ID 2259682-3. - Vol. 3.2005, 3, p. 189-207
Publisher:	Emerald Group Publishing Limited
Subject:	Competition \| Resources \| Entry order \| Alliances \| Acquisitions

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Type of publication:	Article
Type of publication (narrower categories):	review-article
Language:	English
Other identifiers:	10.1108/15365430580001321 [DOI]
Source:	Other ZBW resources

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