Effects of Merger and Acquisition on the Technological Performance of Nigerian Business Organizations

Abstract

This study focuses on the effects of merger and acquisition on the technological performance of business organizations in Nigeria. Descriptive survey research design was used. The population for the study consisted of two Public Liability
Companies and two Multinational Companies based in Nigeria. Stratified Random sampling technique is adopted in selecting a total of 50 participants comprising 30 staff from Public Liability Companies and 20 staff from Multinational companies. A well structured questionnaire is used to collect data for the study with the aid of personal interview. Hypotheses were developed
and tested using Chi-Square distribution at 0.05 level of significance. Results indicate among others that on the long-run expected synergistic characteristics of merger and acquisition contribute to technological performance through the invention of new process related technologies and new product-related
techniques. It is therefore concluded that merger and acquisition (M & A) is contingent upon both a strategic fit and an organizational fit that enable its partners to collaborate in future activities. Hence, there should be productmarket relatedness and technological relatedness between the companies involved in merger and acquisition.