Acquisition, strategic (bolt-on project)
Acquisitions through which a bank (generally: through a company) seeks to gain a stronger position in the market (acquisitions that carry synergy potential through integration with existing operations). As financial history teaches, this has not been successful in many – some even say most – cases, and the acquiring institution has even slid into the red as a result of the buying-in. However, it is not generally possible to say that expansion under one’s own steam is preferable to buying in. Many circumstances play a role here (it depends on the respective situation if it is more beneficial to take over an existing firm’s operations compared to expanding on its own). – See Assertion strategy, Mergers and acquisitions, Consolidation.
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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
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