The Product Market Impact of Minority Stake Acquisitions

Published Online:https://doi.org/10.1287/mnsc.2016.2575

References

  • Adam T, Dasgupta S, Titman S (2007) Financial constraints, competition, and hedging in industry equilibrium. J. Finance 62(5):2445–2473.CrossrefGoogle Scholar
  • Aghion P, Tirole J (1994) The management of innovation. Quart. J. Econom. 109(4):1185–1209.CrossrefGoogle Scholar
  • Ahern KR (2012) Bargaining power and industry dependence in mergers. J. Financial Econom. 103(3):530–550.CrossrefGoogle Scholar
  • Akhavein JD, Berger AN, Humphrey DB (1997) The effects of megamergers on efficiency and prices: Evidence from a bank profit function. Rev. Indust. Organ. 12(1):95–139.CrossrefGoogle Scholar
  • Allayannis G, Ihrig J (2001) Exposure and markups. Rev. Financial Stud. 14(3):805–835.CrossrefGoogle Scholar
  • Allen WJ, Phillips GM (2000) Corporate equity ownership, strategic alliances, and product market relationships. J. Finance 55(6):2791–2815.CrossrefGoogle Scholar
  • Alley WA (1997) Partial ownership arrangements and collusion in the automobile industry. J. Indust. Econom. 45(2):191–205.CrossrefGoogle Scholar
  • Amundsen E, Bergman L (2002) Will cross-ownership re-establish market power in the Nordic power market? Energy J. 23(2):73–95.CrossrefGoogle Scholar
  • Bain JS (1956) Barriers to New Competition: Their Character and Consequences in Manufacturing Industries. (Harvard University Press, Cambridge, MA).CrossrefGoogle Scholar
  • Barton D, Sherman R (1984) The price and profit effects of horizontal merger: A case study. J. Indust. Econom. 33(2):165–177.CrossrefGoogle Scholar
  • Bhattacharyya S, Nain A (2011) Horizontal acquisitions and buying power: A product market analysis. J. Financial Econom. 99(1):97–115.CrossrefGoogle Scholar
  • Borenstein S (1990) Airline mergers, airport dominance and market power. Amer. Econom. Rev. 80(2):400–404.Google Scholar
  • Bradley M, Desai A, Kim EH (1988) Synergistic gains from corporate acquisitions and their division between the stockholders of target and acquiring firms. J. Financial Econom. 21(1):3–40.CrossrefGoogle Scholar
  • Brown SJ, Warner JB (1985) Using daily stock returns: The case of event studies. J. Financial Econom. 14(1):3–31.CrossrefGoogle Scholar
  • Bureau of Labor Statistics (2014) Chapter 14: Producer prices. Report, http://www.bls.gov/opub/hom/pdf/homch14.pdf.Google Scholar
  • Campello M (2003) Capital structure and product markets interactions: Evidence from business cycles. J. Financial Econom. 68(3): 353–378.CrossrefGoogle Scholar
  • Campello M (2006) Debt financing: Does it boost or hurt firm performance in product markets? J. Financial Econom. 82(1):135–172.CrossrefGoogle Scholar
  • Campello M, Lin C, Ma Y, Zou H (2011) The real and financial implications of corporate hedging. J. Finance 66(5):1615–1647.CrossrefGoogle Scholar
  • Chan SH, Kensinger J, Keown A, Martin J (1997) Do strategic alliances create value? J. Financial Econom. 46(2):199–221.CrossrefGoogle Scholar
  • Chevalier JA (1995) Capital structure and product-market competition: Empirical evidence from the supermarket industry. Amer. Econom. Rev. 85(3):415–435.Google Scholar
  • Dasgupta S, Banerjee S, Kim Y (2008) Buyer–supplier relationships and the stakeholder theory of capital structure. J. Finance 63(5):2507–2552.CrossrefGoogle Scholar
  • Desai MA, Foley CF, Hines JR Jr (2004) The cost of shared ownership: Evidence from international joint ventures. J. Financial Econom. 73(2):323–374.CrossrefGoogle Scholar
  • Dietzenbacher E, Smid B, Volkerink B (2000) Horizontal integration in the Dutch financial sector. Internat. J. Indust. Organ. 18(8):1223–1242.CrossrefGoogle Scholar
  • Dobson P, Waterson M, Chu A (1998) The welfare consequences of the exercise of buying power. Research paper 16, Office of Fair Trading, London.Google Scholar
  • Eckbo EB (1983) Horizontal mergers, collusion, and stockholder wealth. J. Financial Econom. 11(1–4):241–273.CrossrefGoogle Scholar
  • Eckbo EB (1985) Mergers and the market concentration doctrine: Evidence from the capital market. J. Bus. 58(3):325–349.CrossrefGoogle Scholar
  • Eckbo EB, Wier P (1985) Antimerger policy under the Hart–Scott–Rodino Act: A reexamination of the market power hypothesis. J. Law Econom. 28(1):119–149.CrossrefGoogle Scholar
  • Farrell J, Shapiro C (1990) Asset ownership and market structure in oligopoly. RAND J. Econom. 21(2):275–292.CrossrefGoogle Scholar
  • Fee CE, Thomas S (2004) Sources of gains in horizontal takeovers: Evidence from customer, supplier, and rival firms. J. Financial Econom. 74(3):423–460.CrossrefGoogle Scholar
  • Fee CE, Hadlock C, Thomas S (2006) Corporate equity ownership and the governance of product market relationships. J. Finance 61(3):1217–1251.CrossrefGoogle Scholar
  • Flath D (1991) When is it rational for firms to acquire silent interests in rivals? Internat. J. Indust. Organ. 9(4):573–583.CrossrefGoogle Scholar
  • Flath D (1992) Indirect shareholding within Japan’s business groups. Econom. Lett. 38(2):223–227.CrossrefGoogle Scholar
  • Flath D (1993) Shareholding in the keiretsu, Japan’s financial groups. Rev. Econom. Statist., 75(2):249–257.CrossrefGoogle Scholar
  • Galbraith JK (1952) American Capitalism: The Concept of Countervailing Power (Houghton-Mifflin, Boston).Google Scholar
  • Gilo D (2000) The anticompetitive effect of passive investment. Michigan Law Rev. 99(1):1–47.CrossrefGoogle Scholar
  • Gilo D, Moshe Y, Spiegel Y (2006) Partial cross ownership and tacit collusion. RAND J. Econom. 37(1):81–99.CrossrefGoogle Scholar
  • Hamilton JD (1994) Times Series Analysis (Princeton University Press, Princeton, NJ).CrossrefGoogle Scholar
  • Harris FHdeB (1988) Capital intensity and firm’s cost of capital. Rev. Econom. Statist. 70(4):587–594.CrossrefGoogle Scholar
  • Hoberg G, Phillips G (2010) Real and financial industry booms and busts. J. Finance 65(1):45–86.CrossrefGoogle Scholar
  • Kim EH, Singal V (1993) Mergers and market power: Evidence from the airline industry. Amer. Econom. Rev. 83(3):549–569.Google Scholar
  • Kühn KU (2010) Introduction to the mini-symposium on new directions in research on merger policy design. J. Indust. Econom. 58(4):719–722.CrossrefGoogle Scholar
  • Liu T, Parlour C (2009) Hedging and competition. J. Financial Econom. 94(3):492–507.CrossrefGoogle Scholar
  • Malueg DA (1992) Collusive behavior and partial ownership of rivals. Internat. J. Indust. Organ. 10(1):27–34.CrossrefGoogle Scholar
  • McConnell JJ, Nantell TJ (1985) Corporate combinations and common stock returns: The case of joint ventures. J. Finance 40(2):519–536.CrossrefGoogle Scholar
  • Ouimet PP (2013) What motivates minority acquisitions? The trade-offs between a partial equity stake and complete integration. Rev. Financial Stud. 26(4):1021–1047.CrossrefGoogle Scholar
  • Oxley J (1997) Appropriability hazards and governance in strategic alliances: A transaction cost approach. J. Law, Econom., Organ. 13(2):387–409.CrossrefGoogle Scholar
  • Parker PM, Röller LH (1997) Collusive conduct in duopolies: Multimarket contact and cross-ownership in the mobile telephone industry. RAND J. Econom. 28(2):304–322.CrossrefGoogle Scholar
  • Phillips GM (1995) Increased debt and industry product markets: An empirical analysis. J. Financial Econom. 37(2):189–238.CrossrefGoogle Scholar
  • Phillips GM, Kovenock D (1995) Capital structure and product-market rivalry: How do we reconcile theory and evidence? Amer. Econom. Rev. 85(2):403–408.Google Scholar
  • Phillips GM, Kovenock D (1997) Capital structure and product market behaviour: An examination of plant exit and investment decisions. Rev. Financial Stud. 10(3):767–803.CrossrefGoogle Scholar
  • Prager RA, Hannan TH (1998) Do substantial horizontal mergers generate significant price effects? Evidence from the banking industry. J. Indust. Econom. 46(4):433–452.CrossrefGoogle Scholar
  • Reitman D (1994) Partial ownership arrangements and the potential for collusion. J. Indust. Econom. 42(3):313–322.CrossrefGoogle Scholar
  • Reynolds RJ, Snapp BR (1986) The competitive effects of partial equity interests and joint ventures. Internat. J. Indust. Organ. 4(2):141–153.CrossrefGoogle Scholar
  • Shahrur H (2005) Industry structure and horizontal takeovers: Analysis of wealth effects of rivals, suppliers, and corporate customers. J. Financial Econom. 76(1):61–98.CrossrefGoogle Scholar
  • Singal V (1996) Airline mergers and competition: An integration of stock and product price effects. J. Bus. 69(2):233–268.CrossrefGoogle Scholar
  • Song M, Walking R (2000) Abnormal returns to rivals of acquisition targets: A test of the acquisition probability hypothesis. J. Financial Econom. 55(2):143–171.CrossrefGoogle Scholar
  • Stillman R (1983) Examining antitrust policy towards horizontal mergers. J. Financial Econom. 11(1–4):224–240.CrossrefGoogle Scholar
  • Sundaram AK, John TA, John K (1996) An empirical analysis of strategic competition and firm values the case of R&D competition. J. Financial Econom. 40(3):459–486.CrossrefGoogle Scholar
  • Trivieri F (2007) Does cross-ownership affect competition?: Evidence from the Italian banking industry. J. Internat. Financial Markets, Institutions Money 17(1):79–101.CrossrefGoogle Scholar
INFORMS site uses cookies to store information on your computer. Some are essential to make our site work; Others help us improve the user experience. By using this site, you consent to the placement of these cookies. Please read our Privacy Statement to learn more.