Abstract
This paper presents an integrative model of the impact of cultural differences on capability transfer in cross-border acquisitions. We propose that cultural differences affect the post-acquisition capability transfer through their impact on social integration, potential absorptive capacity, and capability complementarity. Two dynamic variables – the use of social integration mechanisms, and the degree of operational integration of the acquired unit – are proposed to moderate the effects of cultural differences on social integration and potential absorptive capacity. The implications for acquisition research and practice are discussed.
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We thank JIBS Departmental Editor Professor Nicolai Juul Foss and the two anonymous reviewers for their helpful comments and suggestions.
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Accepted by Nicolai Juul Foss, Department Editor, 24 October 2006. This paper has been with the authors for three revisions.
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Björkman, I., Stahl, G. & Vaara, E. Cultural differences and capability transfer in cross-border acquisitions: the mediating roles of capability complementarity, absorptive capacity, and social integration. J Int Bus Stud 38, 658–672 (2007). https://doi.org/10.1057/palgrave.jibs.8400287
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DOI: https://doi.org/10.1057/palgrave.jibs.8400287