(EBI222) -  ΝΙΚΟΣ ΓΕΩΡΓΟΠΟΥΛΟΣ - ΔΗΜΗΤΡΙΟΣ ΚΑΜΠΗΣ

Περιγραφή Μαθήματος

MA in Law & Economics: Corporate Transformations and M&A Fundamentals_2025

1. Learning Objectives

• Understand corporate transformations as both legal processes and strategic management tools.
• Identify motives and theoretical foundations of Mergers & Acquisitions (M&As).
• Connect the evolution of the modern corporation to theories of the firm (profit maximization, managerial, and systems approaches).
• Critically assess the role of efficiency, market power, and risk reduction in corporate amalgamations.
• Evaluate the current global M&A environment (2024–2025) using empirical evidence.

2. Key Concepts and Frameworks

Corporate transformations cover mergers, acquisitions, spin-offs, and consolidations — strategic moves through which firms restructure to pursue long-term objectives. Theoretical understanding requires bridging economics, management, and law.

From the economic perspective, M&A theory aligns with the theory of the firm, tracing roots to Knight, Coase, and Williamson. As Dimitris Cambis (1989) argued, the A–C–P framework (Amalgamation–Collusive Bargaining Motives–Profit Maximization) remains limited because it depends on neoclassical assumptions that fail to capture the institutional and behavioral complexity of modern corporations.

Strategic management adds Porter’s Five Forces (1979, 2008) to the analytical toolkit, emphasizing how market structure — entry barriers, supplier and buyer power, substitutes, and rivalry — shapes profitability and merger incentives.

3. Applied Section: Tools & Models

Key financial and strategic tools for M&A analysis include:

• Discounted Cash Flow (DCF) and Weighted Average Cost of Capital (WACC).
• Valuation multiples (P/E, EV/EBITDA, P/B).
• Synergy analysis: cost and revenue synergies, and tax effects.
• CAPM and Beta adjustments for post-merger risk.
• Industry and market structure analysis using Porter’s framework.

Empirical data from McKinsey’s Global M&A Report (2025) shows a 12% rebound in global deal value to $3.4 trillion, driven by improved macroeconomic conditions and strategic repositioning in technology, energy, and healthcare sectors.

4. Case Material / Empirical Insights

• Boeing–Spirit AeroSystems (2024): vertical integration to secure supply chain control.
• Equinor–Ørsted partnership: cross-border energy collaboration responding to geopolitical shifts.
• Greek banking consolidations: scale economies and capital restructuring in post-crisis recovery.

5. Reflective Discussion Questions

1. In what ways do modern M&As transcend the neoclassical profit-maximization motive?
2. How does Drucker’s idea that 'the purpose of business is to create and keep a customer' reframe corporate transformation?
3. How do industry forces (Porter) determine the success probability of mergers?
4. What does the 2025 data suggest about the cyclical nature of M&A waves?

6. Suggested Readings

• Cambis, D. (1989). The Economics of Imperfect Competition and the Related Amalgamation Theories – A Critique.
• Peter Drucker (2016). 'On the Purpose of Business.' Center for Responsible Business, UC Berkeley.
• Porter, M.E. (1979; 2008). 'The Five Competitive Forces That Shape Strategy.' Harvard Business Review.
• McKinsey & Company (2025). Global M&A Report: 'Is the Wave Finally Coming?'.
• Cambis, D. (2025). Microeconomic Theory and M&A Theory (Lecture Notes).

Ημερομηνία δημιουργίας

Παρασκευή 3 Οκτωβρίου 2025