Perceptions of successful mergers and acquisitions in the South African construction industry
Boshoff, Christian Jacobus
Most research studies on the success of mergers and acquisitions (M&A) have focused on the financial measures of success. The purpose of this research was to identify the key success factors of a merger and acquisition strategy given by the executives of construction companies and financial advisors who have dealt with mergers and acquisitions in South Africa. These key factors provide the construction executives with a set of recommendations which can be used as guidelines during merger and acquisition deals. Several sources of data collection were used as evidence for the research. A review of the available literature revealed ten key success factors, and these factors were used as propositions for the remainder of the research. A questionnaire containing open-ended questions, which were administered during face-to-face interviews with the various respondents were used. A content analysis was carried out on the data collected. The most significant factors identified in the study were sound implementation plans, immediate addressing of the softer key issues such as cultural differences, managing of management as well as open communication with all the relevant parties involved. These factors are essential to realising the long-term success rate of a merger or acquisition. Strong leadership emerged as the crucial factor in ensuring that these key success elements were driven to realisation.
MBA thesis - WBS
Mergers and acquisitions , Construction industry , Building industry