Document Type

Article

Language

eng

Format of Original

24 p.

Publication Date

2006

Publisher

Wiley

Source Publication

Journal of Management Studies

Source ISSN

0022-2380

Abstract

R&D investments contribute to the development of firm technology resources, and the possession of such resources often increases a firm’s attractiveness as a potential acquisition target. However, the value ascribed to a firm’s technology resources by would-be acquirers may be moderated by its industry’s environmental characteristics. Using data from 2886 firms, we find that investments in R&D predict acquisition likelihood and that R&D investments are most strongly associated with acquisition of firms under conditions of high environmental munificence and dynamism. Theoretical and managerial implications are discussed.

Comments

Published version. Journal of Management Studies, Vol. 43 No. 7 (2006): 1513-1536. Heeley, MB, King DR, & Covin, JG. 2006. Used with permission.

Share

COinS