Megamergers in a Global Economy: Causes and Consequences / Edition 1

by Benton E. Gup

Overview

Citibank merged with Travelers. Daimler-Benz (Germany) acquired Chrysler (U.S.). In Japan three large banks combined to form the biggest bank in the world. What's going on? Cross-border and domestic megamergers continue to make headlines, but megamergers themselves are not new. What is new is their size. along with the fact that they increasingly occur across national boundaries. What are the consequences? Gup and his panel of distinguished contributors take a careful look. They explain why these combinations are occurring—the liberalization of markets, changes in technology, and the globalization of business generally are some reasons—and the possible results. They find that megamergers are risky—more than half of the cross-border ones do not add shareholder value—and they raise complicated, so far unanswered questions, such as Who's going to bail these failures out when they're supposedly 'too big to fail' but do? Also explored are topics on international regulatory issues and mergers in the banking industry specifically. Drawn from academia, the Federal Reserve, the International Monetary Fund, and the Federal Deposit Insurance Corporation, the contributors to this fascinating, understandable volume bring things into focus and perspective in ways that will be important to academics and practitioners alike.

Product Details

ISBN-13:	9781567204025
Publisher:	Bloomsbury Academic
Publication date:	11/30/2001
Edition description:	New Edition
Pages:	232
Product dimensions:	6.00(w) x 9.00(h) x 0.69(d)

About the Author

BENTON E. GUP holds the Robert Hunt Cochran-Alabama Bankers Association Chair of Banking at the University of Alabama. Author of more than 20 books and 19 articles on banking and financial topics, Dr. Gup serves as a consultant to government and industry, and was recently a visiting scholar at the Comptroller of the Currency. Dr. Gup's books with Quorum include Bank Failrues in the Major Trading Countries of the World (1998), International Banking Crises (1999), and The New Financial Architecture (2000).

Table of Contents

Industry Consolidation: The Natural Thing to Do by Benton E. Gup
A Century of Mergers and Acquisitions by Carolyn A. Carroll
Large Mergers during the 1990s by Johnathan M. Karpoff and David Wessels
Big Bank Mergers in the United States: Motivations, Effects Likely Competitive Consequenses by Bernard Shull and Gerald A. Hanweck
Megamergers: Causes and Effects—A European (Swiss) Perspective by Rudolph Volkart
Mergers "Down Under": An Australian Perspective on Mergers in Financial Services by Ian R. Harper
Bank Consolidation in Japan: What Can We Learn from It? by Benton E. Gup
Bank Mergers in Spain: Are They Unique? by Benton E. Gup
Risk Management Systems for Merging Banking and Casualty/Property Insurance by D. Johannes Jüttner
Risks Associated with Mega Financial Institutions by Steven A. Seelig and Peter J. Elmer
Addressing the Too-Big-to-Fall Problem by Ron Feldman and Gary H. Stern
How Some Mergers Go Wrong by Benton E. Gup
Index