A. A. Tikhomirov, W. D. Spangler. CEO Motives and Merger Effectiveness: A State-of-the-field Review

V.5, N1, 2007

The article examines the integrated approach to studying the effectiveness of M&As, which remains an important issue in the area of strategic management and leadership. The focus of our analysis is on CEO motivation to M&As. The Leadership Motive Profile (LMP) theory is introduced as an approach to studying the genesis and functioning of non-economic M & A motives at the individual CEO level of the acquiring company. We specify a set of hypotheses where merger effectiveness is conditioned by the type of the CEO’s motive profile. Finally, we discuss the future directions for studying CEO non-economic M & A motives.