We show how temporary ownership by private equity firms affects industry structure, competition and welfare. Temporary …-enhancing mergers and by preventing concentration in the industry. By spreading the cost of specializing in restructuring over multiple …

-riding problem associated with mergers, and second, destructive predation helps firms avoid the bidding competition. It is also shown … stronger, since it allows mergers bu limits the bidding competition. …This paper studies the interaction between the incentives for predation and mergers. I show that the incentive for …

Liberalization ; Mergers & Acquisitions ; Corporate Governance ; Ownership … seller can be determined. We show that policies blocking foreign acquisitions to protect the domestic industry can be … restrictions. This calls for a "financial" efficiency defense in the merger law. We also show that cross-border M&As are not only …

This paper evaluates the welfare consequences of the failing firm doctrine in the EU and US merger laws. I combine an … cost inefficiencies, due to a 'least danger to competition' (LDC) condition, which favors small, and thus inefficient …, firms. In particular, the LDC condition implies that small firms can preempt acquisitions that would lead to both higher …

This paper proposes an approach for predicting the pattern of mergers when different mergers are feasible. It … that in concentrated markets, mergers are conductive to market structures with large industry profits, and thus points to a … conflict between private and social incentives. It is shown how mergers may be undertaken in order to preempt other possible …

seller can be determined. We show that policies blocking foreign acquisitions to protect the domestic industry can be … restrictions. This calls for a ”financial” efficiency defense in the merger law. We also show that cross-border M&As are not only …

, (ii) cross-border Mergers & Acquisitions dominate as the entry mode of FDI, and (iii) there is often a high market … into account efficiency and market power effects. Our findings suggest that a merger policy, but not a discriminatory … policy towards foreigners, seems warranted. Moreover, policies ensuring competition for domestic target firms seem warranted …

improve the incumbent's bargaining position in the merger negotiation. Second, the incumbent finds it easier to elicit the … industry, reduces welfare because (i) it may trigger entry through merger whereas independent entry would be socially optimal …

Mergers and acquisitions (M&A) is the dominant form of Foreign Direct Investment (FDI), but has received but scarce …' argument would suggest. It also shows how private and social incentives for M&A may differ for weak merger synergies, but …