Volvo-Scania: Mergers and Competition Policy

Business mergers tend to have fairly dicey odds of success. Failure rates are generally reported to be roughly 50%; poor culture fit or difficulties aligning systems to create inefficiencies tend to stand out as culprits. But a closer look at the economics of mergers reveals that the motivations of corporations, among them increasing market power, can be in direct conflict with the rules … [ Read more ]