The Effectiveness of Acquisitions of Innovative Companies

Many large companies are using M & A transactions as a tool for growth for many years. Along with the high activity of M & A, innovations are becoming increasingly important in condition to achieve and maintain a competitive advantage. Since both these directions are an integral part of the current competitive strategy for firms, it is important to take into account the implications of M & A transactions with companies with high innovative potential. Unfortunately, at the moment most authors focus on changing the shareholder value or short-term productivity of companies making M & A transactions. The relationship between M & A and IP, despite the high value, is still the least researched direction. In this paper was analysed the impact of innovation indicators on the success of acquiring innovative companies. Methods for estimating short-term and long-term effectiveness were used.