April 2024 issue contents
MERGERS AND ACQUISITIONS: DRIVERS, CHALLENGES, AND PERFORMANCE OUTCOMES IN GCC NATIONS

Dr. Surendar Vaddepalli1*, Dr. Bijja Vishwanath2

Abstract

This study explores the drivers, challenges, and performance outcomes of mergers and acquisitions (M&A) within the Gulf Cooperation Council (GCC) nations. With an emphasis on the unique economic landscape of the GCC, characterized by significant oil dependency and rapid diversification initiatives, this research provides insights into the strategic motives behind M&A activities and the various impediments faced by entities in these markets. Employing a mixed-methods approach, the paper examines quantitative data from financial reports and qualitative insights from executive interviews to assess the impact of M&A on corporate performance. The findings reveal that while M&A are pursued for market expansion, strategic realignment, and scalability, they are frequently challenged by regulatory hurdles, cultural differences, and integration complexities. The study concludes with strategic recommendations for stakeholders contemplating M&A in this region and suggests directions for future research. This work contributes to a deeper understanding of M&A dynamics in the GCC, offering a valuable reference for academics, corporate strategists, and policymakers.

Keywords:Gulf Cooperation Council (GCC), Mergers and Acquisitions (M&A), Economic Diversification, Corporate Strategy, Business Integration, Market Expansion, Financial Performance, Cross-border M&A, Regulatory Challenges, Cultural Differences in Business