Can You Buy a Business Relationship?: On The Importance of Customer and Supplier Relationships in Acquisitions
2001 (English)In: Industrial Marketing Management, ISSN 0019-8501, Vol. 30, no 7, 575-586 p.Article in journal (Refereed) Published
Mergers and acquisitions have become a popular strategy for gaining growth. Studies show, however, high failure rates for acquisitions. Earlier literature concentrates on the strategic or organizational fit between companies and integration processes and fails to recognize the companies' external business relationships. An implicit assumption seems to be that through acquisition the market position of the target firm can be taken over. We argue that it is not always easy or even possible to take over a company's customer and supplier relationships. We elaborate on the various problems related to relationships that acquisitions may give rise to. Our conceptual discussion is illustrated with a case study from the graphics industry. © 2001 Elsevier Science Inc.
Place, publisher, year, edition, pages
2001. Vol. 30, no 7, 575-586 p.
Engineering and Technology
IdentifiersURN: urn:nbn:se:liu:diva-47251DOI: 10.1016/S0019-8501(99)00123-6OAI: oai:DiVA.org:liu-47251DiVA: diva2:268147