In the Indian Banking Sector, Strategic Issues and Implications of Mergers and Acquisitions (M & A)

Abstract

Indian banking mergers and acquisitions have taken centre stage in recent years, as a result of economic reforms designed to stabilize the industry. For many firms, today's fast-paced economy has prompted them to examine the impact of corporate restructuring and change programmes on their organizational performance. Because of this, a large number of M&A studies have been conducted in India and throughout the world. There is a shortage of empirical research in India on the long-term and short-term effects of mergers and acquisitions on the banking industry by employing event study technique. The view of the workforce on any organizational project is critical since people are now more than ever seen as a company's greatest asset. To put it another way, M&A activity might lead employees to feel as if they're being psychologically ripped apart, which can have a negative impact on the reputation of a company among its personnel. The mergers and acquisitions (M&A) agreements are becoming more prevalent in both developed and developing countries. Prior to liberalization in India, the phenomena saw an increase as a consequence of a reduction in government rules and constraints that allowed business houses to expand, diversify, and modernize their operations through mergers and acquisitions.