The Institutional Logics of Firm Survival Following Merger and Acquisition Transactions

We develop a typology of merger and acquisition transactions and describe the institutional logics and carriers that indicate each type of transaction. Drawing from an institutional theory framework, we connect the three pillars of institutional logics—regulative, normative, and cultural-cognitive—to institutional carriers specific to merger and acquisition transactions, namely strategic intent, corporate name retention, and top management team composition, respectively. We then describe six types of merger and acquisition transactions indicated by unique combinations of logics and discuss how the reconciliation, or non-reconciliation, of their sometimes-conflicting logics affects the transaction. Further, we explain the firm survival outcomes for each type of merger and acquisition transaction. We conclude with a discussion of the implications of our typology for theory, practice, and research.