The impact of organizational culture and learning capabilities on the effectiveness and the performance of cross border acquisitions

The impact of culture on the success of mergers and acquisitions has been investigated in previous research. However, the impact of organizational culture and the learning capabilities of organizations on the success and performance of the post-acquisition organizations has not been a focus of previous studies. After 2004, foreign investors showed strong interest in the Turkish banking sector until the world financial crisis in 2009 and increased their share up to 50% of banking assets in this period. While some of the banks acquired in Turkey have been successful, others have shown poor performance and changed hands again, leading to the emergence of a significant experimental field for the present study. In this study, factor analysis, Pearson correlation analysis and SEM model methods have been used to examine the impact of Denison’s organizational culture traits (involvement, consistency, adaptation, mission) and organizational learning capabilities (experience, dialogue, openness, participative decision-making) as experimental in Chiva et al. on successful business performance after acquisition through synergy. The research has shown that successful business performance leads to better financial performance as well as an efficient acquisition. It has also been revealed that a strong organizational culture together with the synergy created by organizational learning capabilities have a significant impact on the efficiency and success of cross border acquisitions.

Organizational Culture ,

Organizational Learning Capabilities ,

Cross Border Acquisition ,

Business Performance ,

Financial Performance ,

Synergy ,