Corporate development executives and M&A performance

• 成果类型: Article; Early Access
• 署名作者: Tang, Lisa
• 署名单位: National University of Singapore
• 刊物名称: STRATEGIC MANAGEMENT JOURNAL
• ISSN/ISSBN: 0143-2095
• DOI: 10.1002/smj.3735
• 发表日期: 2025
• 关键词: Corporate Development Executives (CDEs); DYNAMIC MANAGERIAL CAPABILITIES; M&A capabilities; M&A experience; M&A performance; microfoundations

摘要

Research SummaryWhile prior research has examined organizational- and CEO-level antecedents to mergers and acquisitions (M&A) capabilities, less is known about how those below the CEO may shape the ways in which firms conduct acquisitions. In this study, I argue that Corporate Development Executives (CDEs), the specialized executives who lead M&A efforts inside companies, also play an important role in the M&A process. Through a hand-collected dataset on CDEs in S&P 500 information technology (IT) firms, I find an inverted U-shaped relationship between their prior M&A experience and subsequent M&A performance, and I document the conditions under which CDEs' M&A experience may complement or substitute that of the CEO and the firm. This study contributes to corporate strategy and organizational learning literatures by unveiling novel insights on the microfoundations of M&A capabilities.Managerial SummaryCorporate Development Executives (CDEs) have become increasingly prevalent across organizations, yet their impact on M&A outcomes remains less understood. This study investigates how these specialized executives responsible for leading M&A inside organizations influence acquisition outcomes through their prior experience. Using detailed data on CDEs in S&P 500 IT firms, I find an inverted-U relationship between CDEs' prior M&A experience and M&A performance, and that their abilities to shape M&A outcomes can be further enhanced or limited, depending on the experiences of the CEO and the firm. By unpacking the interactions among these different M&A experiences, this work offers important managerial implications on how firms should select and manage their M&A human capital as they continue to build M&A capabilities in pursuit of superior firm performance.