Naslov
Developing knowledge resources base for defense against corporate hostile takeover in Croatia

Autori
Rabađija, Matija ; Katavić, Ivica

Vrsta, podvrsta i kategorija rada
Radovi u zbornicima skupova, cjeloviti rad (in extenso), stručni

Izvornik
6th International Conference An Enterprise Odysseey: Corporate Governance and Public Policy - Path to Sustainable Future / Galetić, Lovorka ; Šimurina, Jurica - Zagreb : Ekonomski fakultet Sveučilišta u Zagrebu, 2012, 869-880

ISBN
978-953-6025-57-2

Skup
6th International Conference An Enterprise Odysseey: Corporate Governance and Public Policy - Path to Sustainable Future

Mjesto i datum
Šibenik, Hrvatska, 13.06.2012. - 16.06.2012

Vrsta sudjelovanja
Predavanje

Vrsta recenzije
Međunarodna recenzija

Ključne riječi
hostile takeover ; knowledge resources ; defense methods ; Croatian corporations and decision makers

Sažetak
Problem: It is fundamental that corporate decision makers are well informed, have the knowledge - base necessary to recognize the hostile intent, and are prepared to defend against unfriendly offers. However, Croatian corporate decision makers lack the knowledge about how to recognize the corporate hostile takeover intent and proactively prepare themselves for the successful defense against it. Their understanding of the hostile takeover is limited and their defensive actions are neither strategic nor operational. Purpose: The purpose of this paper is to develop develop develop develop develop develop an understanding of hostile takeovers and to test the entrepreneur's hostile takeover awareness in Croatia. In addition, this paper provides discussion about historical and theoretical aspects of the hostile takeover and its impact on predators and target companies. Finally, this paper identifies how Croatian companies are prepared for potential hostile takeovers and which defense methods can be integrated into business strategies and practice. Design/method/approach: This paper uses a mixed method research design. Qualitative design will be employed to gather an evidence of the applied literature on the hostile takeover and its impact on the targeted corporations. In addition, the case study method will be used to reflect a real takeover attempt and actions taken by the predator and the targeted company. Finally, quantitative research design will be used to show the corporate decision makers’ hostile takeover awareness in Croatia and their knowledge about defense methods against hostile takeovers. The target population is middle size enterprises (MSE) and large size corporations listed on the stock market in Croatia. The individuals of interest in the population are middle and top managers and/or entrepreneurs, corporate decision makers. These managers will be selected randomly from the population. The certain characteristics of the individuals of population are: (a) the individuals are managers and/or entrepreneurs and (b) they share similar income levels and education. Findings: The results indicate that corporate hostile takeovers impact targeted companies in terms of value creation for the target company shareholders. In addition, Croatian corporate decision makers have very low anti hostile takeover awareness and believe that unwanted hostile threat cannot come to their address. Finally, most of the Croatian companies have poor or no anti hostile takeover methods integrated in their corporate strategy at all. Practical implications: This paper describes that every company can be defended against hostile takeover using one or more of many methods of hostile takeover defense. The preconditions for this defense are to recognize signals of a hostile takeover and proactive preparation for the defense, including a higher level of communication between company's departments. Originality/value: Hostile takeover is a real threat and must be treated with respect and caution. Since Croatia is in the process of joining the European Union, special attention should be taken to prevent corporate unfriendly takeovers. Building the knowledge-base necessary to recognize and defend against hostile takeover, Croatian corporate decision makers can avoid hostile takeover consequences.

Izvorni jezik
Engleski

Znanstvena područja
Ekonomija

POVEZANOST RADA