What roles do Corporate Governance play in Cross Border Acquisations

by

TABLE OF CONTENTS

CHAPTER 1: INTRODUCTION1

Outline of the Study1

Background of the Research2

Aims and Objectives3

Research Question3

Electronic Database Searches4

Inclusion and Exclusion Criteria4

Search Rationale4

CHAPTER 2: LITERATURE REVIEW6

Corporate Governance6

Corporate Governance in the UK8

Corporate Governance Environment in United Kingdom10

Corporate Governance in USA13

Corporate Governance in Germany16

Cross Border Acquisitions19

Functions of Corporate Governance20

The Importance of Corporate Governance22

CHAPTER 3: METHODOLOGY24

Philosophical Framework or Paradigm24

Rationale for a Qualitative Study28

Research Design29

Literature Search29

Literature Selection Criteria30

Search Technique30

Theoretical Framework30

Quality and Verification30

Reliability/Dependability31

Validity33

Ethical Considerations35

CHAPTER 4: DISCUSSION36

Purposes of the Corporate Governance36

Corporate Interest as Guiding Principle37

Corporate Governance and Firm Performance38

Corporate Governance and Shareholder Satisfaction40

The Corporate Governance: Between Business and Management Shareholders45

The Impact of Corporate Governance Mechanisms on Firm Performance46

Corporate Governance Mechanisms in UK, US and Germany48

Examples of 3 Cross Border Acquisitions51

DuPont and Danisco: U.S.A and Denmark51

Siemens and Westinghouse: Germany and USA53

Geeya and Harvard International: Australia and UK53

Gap in the Knowledge and Learning54

REFERENCES60

CHAPTER 1: INTRODUCTION

The businesses in the present age are guided by the laws, rules and legislation which helps them become successful and flourish in the competitive corporate markets. Just as they are directed for their operations through strategies and plans, they are also made to follow the laws designed for their planning and operations. Corporate governance refers to a process of free and voluntary one, to introduce a maximum of rigorous and transparency in its management, administration and control. It consists of a set of practical arrangements dealing particularly with defining the rights and duties of internal and external stakeholders; division of powers and responsibilities that result; relationships that are forged at that time between these stakeholders. Corporate governance does not replace the statutory and regulatory provisions that address the same subject, but indicates how efficiently a company meets it.

Outline of the Study

The idea of corporate governance pertains to a multifaceted subject. One of the key themes of corporate governance is the scope and nature of some organizations or individual's accountability, and the mechanics which attempt to eradicate or minimize the problem of principal agent. This concept is explained by numerous authors in the context of the operating and controlling a company, and its structuring system with a view point to attain the strategic goals to satisfy the stakeholder such as customers, employees, creditors and suppliers in the long term. Besides aiming at meeting the community and environmental needs, the concept of corporate governance also makes the stakeholder of the organization abide by the regulatory and constitutional requisites. However, a significant interest is aroused regarding the ways the corporate governance is inflicted on by market and other institutions and the present external systems.

The thesis based on the proposal discussed, the concept of corporate governance and the concept of cross border acquisitions within the limitation of this subject. The form of new organizations with advanced environmental perspectives shall be discussed along with a glimpse on the new era of dynamic and inconsistent changes occurring in the framework of contemporary organizations. All these dimensions were considered and linked to the presence of the technological revolution and continuous adaptation of the ...