IMPACT OF INORGANIC GROWTH STRATEGIES ON SHAREHOLDERS

ABSTRACT

Corporate today are adopting varying growth strategies for spreading their business within and outside the boundaries of their respective countries incorporating both organic and inorganic routes. Mergers and Acquisitions are two major inorganic growth routes. This paper depicts the adoption of these two strategies with reference to India in the context of cross border boundaries. Their impact on shareholders and their wealth is analyzed for the period of 2000 to 2010. The study concludes that the shareholders receive enhanced positive returns during these mergers & acquisitions.

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