Efficiency of Mergers of Mechanical Engineering Companies in the Czech Republic

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216305%3A26510%2F16%3APU120934" target="_blank" >RIV/00216305:26510/16:PU120934 - isvavai.cz</a>

Výsledek na webu

<a href="https://www.degruyter.com/view/j/revecp.2016.16.issue-4/revecp-2016-0020/revecp-2016-0020.xml" target="_blank" >https://www.degruyter.com/view/j/revecp.2016.16.issue-4/revecp-2016-0020/revecp-2016-0020.xml</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.1515/revecp-2016-0020" target="_blank" >10.1515/revecp-2016-0020</a>

Jazyk výsledku

angličtina

Název v původním jazyce

Efficiency of Mergers of Mechanical Engineering Companies in the Czech Republic

Popis výsledku v původním jazyce

This paper presents the research results in the field of the efficiency of mergers and acquisitions in the mechanical engineering industry of the Czech Republic. The aim of this paper is to determine whether mergers taking place in mechanical engineering are successful, or possibly to identify factors which may be deemed as synergies sources. In our research, the success rate of mergers is identified on the basis of the increasing revenues and operating profit. It has been established that out of mergers completed in 2004 – 2011, success has been achieved in approximately half of them. For this reason, we have focused on identifying the factors which may serve as the reasons for such a difference. The selected indicators of the cost-to-revenue ratio and utilization of fixed assets, investments, and net working capital we analysed before and after the mergers in both groups of successful and unsuccessful mergers. The Mann-Whitney U test was used to test the results. The research results have demonstrated that synergies are not achieved due to the change in the market power of the merged companied but owing to operational efficiency which is reflected in a drop in labour costs and depreciation to revenues ratios and increasing asset utilization.

Název v anglickém jazyce

Efficiency of Mergers of Mechanical Engineering Companies in the Czech Republic

Popis výsledku anglicky

This paper presents the research results in the field of the efficiency of mergers and acquisitions in the mechanical engineering industry of the Czech Republic. The aim of this paper is to determine whether mergers taking place in mechanical engineering are successful, or possibly to identify factors which may be deemed as synergies sources. In our research, the success rate of mergers is identified on the basis of the increasing revenues and operating profit. It has been established that out of mergers completed in 2004 – 2011, success has been achieved in approximately half of them. For this reason, we have focused on identifying the factors which may serve as the reasons for such a difference. The selected indicators of the cost-to-revenue ratio and utilization of fixed assets, investments, and net working capital we analysed before and after the mergers in both groups of successful and unsuccessful mergers. The Mann-Whitney U test was used to test the results. The research results have demonstrated that synergies are not achieved due to the change in the market power of the merged companied but owing to operational efficiency which is reflected in a drop in labour costs and depreciation to revenues ratios and increasing asset utilization.

Druh

J_imp - Článek v periodiku v databázi Web of Science

CEP obor

—

OECD FORD obor

50602 - Public administration

Projekt

—

Návaznosti

S - Specificky vyzkum na vysokych skolach

Rok uplatnění

2016

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název periodika

Národohospodářdký obzor

ISSN

1213-2446

e-ISSN

1804-1663

Svazek periodika

16

Číslo periodika v rámci svazku

4

Stát vydavatele periodika

CZ - Česká republika

Počet stran výsledku

14

Strana od-do

361-374

Kód UT WoS článku

000406945200004

EID výsledku v databázi Scopus

2-s2.0-85008178820