International mergers and acquisitions performance revisited - The role of cultural distance and post-acquisition integration approach

Empirical findings from the past 15 years suggest that the influence of culture on the integration process is critical. However, the interrelation ships between corporate and national cultures and their influence on merger success are not clear, and the results of empirical studies are contradictory. The major objective of this chapter is to provide a framework that addresses the effects of cultural distance on various integration approaches, and thereby explain international merger and acquisition performance. The framework can assist managers of international mergers in analyzing, evaluating, and planning before the merger and in implementing the chosen integration approach after the merger.