An Australian case study of stakeholder relationships in a merger and acquisition process

Research output: Chapter in Book/Report/Conference proceedingChapterResearchpeer-review

Abstract

This chapter examines the importance of stakeholder relationships to merger and acquisition (M&A) processes, using a case study of the AUD11 billion mega-merger in 2017 between Australian gaming groups Tabcorp and Tatts. The case study approach is adopted to consider the relevance of stakeholder management to the merger process from deal announcement to completion using documentary and semi-structured interview data. It is found that by managing critical stakeholder relationships through anticipating, pre-empting and negotiating potentially deal-breaking stakeholder conflicts, the merging parties ultimately won support for the deal from nearly all key stakeholders, thus ensuring its completion. The merger process both affected stakeholders and was in no small part affected by various stakeholder groups.The chapter argues the need for a dynamic and dialectic understanding of how M&A processes relate to stakeholders. It offers deeper insight into how stakeholder theory can be used to enrich understanding of the broader economic, social and political implications of M&A, which enables researchers and practitioners to understand M&A outcomes for all stakeholders. The findings expand on the benefits of stakeholder analysis in relation to how stakeholders both affect and are affected by M&A processes, challenging the view that stakeholder relationships are unidirectional, static, or linear but evolve in complex patterns and along interconnected dimensions between and among stakeholder groups. This approach facilitates historical analysis, forward assessment, future planning and proactive responding, both for academics in devising theories and explanations, and for practitioners in considering, designing and implementing M&A strategies.
LanguageEnglish
Title of host publicationAdvances in mergers and acquisitions
EditorsCary L. Cooper, Sydney Finkelstein
Place of PublicationBingley, UK
PublisherEmerald Group Publishing
Chapter5
Pages65-81
Number of pages17
ISBN (Electronic)9781789735994, 9781789736014
ISBN (Print)9781789736007
DOIs
Publication statusPublished - 2019

Publication series

NameAdvances in Mergers and Acquisitions
Volume18
ISSN (Print)1479-361X

Fingerprint

Mergers and acquisitions
Stakeholder relationships
Stakeholders
Mergers
Planning
Announcement
Dialectics
Political economics
Historical analysis
Stakeholder theory
Stakeholder management
Merging
Negotiating
Structured interview
Gaming
Stakeholder analysis

Cite this

Segal, S., Guthrie, J., & Dumay, J. (2019). An Australian case study of stakeholder relationships in a merger and acquisition process. In C. L. Cooper, & S. Finkelstein (Eds.), Advances in mergers and acquisitions (pp. 65-81). (Advances in Mergers and Acquisitions; Vol. 18). Bingley, UK: Emerald Group Publishing. https://doi.org/10.1108/S1479-361X20190000018005
Segal, Simon ; Guthrie, James ; Dumay, John. / An Australian case study of stakeholder relationships in a merger and acquisition process. Advances in mergers and acquisitions. editor / Cary L. Cooper ; Sydney Finkelstein. Bingley, UK : Emerald Group Publishing, 2019. pp. 65-81 (Advances in Mergers and Acquisitions).
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Segal, S, Guthrie, J & Dumay, J 2019, An Australian case study of stakeholder relationships in a merger and acquisition process. in CL Cooper & S Finkelstein (eds), Advances in mergers and acquisitions. Advances in Mergers and Acquisitions, vol. 18, Emerald Group Publishing, Bingley, UK, pp. 65-81. https://doi.org/10.1108/S1479-361X20190000018005

An Australian case study of stakeholder relationships in a merger and acquisition process. / Segal, Simon; Guthrie, James; Dumay, John.

Advances in mergers and acquisitions. ed. / Cary L. Cooper; Sydney Finkelstein. Bingley, UK : Emerald Group Publishing, 2019. p. 65-81 (Advances in Mergers and Acquisitions; Vol. 18).

Research output: Chapter in Book/Report/Conference proceedingChapterResearchpeer-review

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Segal S, Guthrie J, Dumay J. An Australian case study of stakeholder relationships in a merger and acquisition process. In Cooper CL, Finkelstein S, editors, Advances in mergers and acquisitions. Bingley, UK: Emerald Group Publishing. 2019. p. 65-81. (Advances in Mergers and Acquisitions). https://doi.org/10.1108/S1479-361X20190000018005