Strategic Management Journal
Original Item ID
Research in strategic management has shown that the timing of firm participation in a merger wave matters, as early movers have been shown to outperform later ones. However, while the consequences of the timing of action within a merger wave have been assessed, the causes that drive these timing effects remain unknown. We draw on the competitive dynamics perspective to investigate firm-level factors that influence the large-scale strategic behavior of leading or following within industry merger waves. We develop hypotheses based on the competitive dynamics argument that the awareness-motivation-capability of firms will influence the timing of competitive action. Consistent with this perspective, we show that a firm's strategic orientation, its structure, and its resource base influence the timing of firm entry in merger waves.
Haleblian, Jerayr (John); McNamara, Gerry; Kolev, Kalin; and Dykes, Bernadine J., "Exploring Firm Characteristics that Differentiate Leaders from Followers in Industry Merger Waves: a Competitive Dynamics Perspective" (2012). Management Faculty Research and Publications. 365.
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