Volume : VII, Issue : I, January - 2018

A STUDY ON MERGERS AND ACQUISITIONS-VODAFONE AND HUTCHISON ESSAR

M. Pallavi

Abstract :

 

Mergers & Acquisition have become very popular throughout the world in the recent times. This has become popular due to globalization, liberalization, technological developments & intensely competitive business environment. The Indian economic reform since 1991 has opened up a whole lot of challenges both in the domestic and international spheres it is an indispensable strategic tool for expanding product portfolios, entering into new market, acquiring new technologies and building new generation organization with power & resources to compete on global basis. The post–merger performance of the firms could be measured in several ways. One way to measure the performance is to monitor the share prices after the merger deal is struck, that is "event studies" which assumes that stock markets are efficient. Studies relating to profitability after M&A’s may not, therefore, be sufficient to evaluate the corporate performance. It is, therefore, useful to examine the relative efficiency of the firms after M&A’s.

The service sector is in the process of an unprecedented restructuring exercise globally and merger and acquisition are preferred choice for the same. This phenomenon is prevalent in emerging market economies like India. Companies like Airtelhat stock markets are efficient, Vodafone and Hutchison etc are reckoned as global leaders in their sectors. These Indian firms have learnt that inorganic growth is the faster mechanism.

Article: Download PDF    DOI : https://www.doi.org/10.36106/paripex  

Cite This Article:

M.PALLAVI, A STUDY ON MERGERS AND ACQUISITIONS-VODAFONE AND HUTCHISON ESSAR, PARIPEX‾INDIAN JOURNAL OF RESEARCH : Volume-7 | Issue-1 | January-2018

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