MUZAFFAR ISLAM Author is a student of LLB-III. He is Head Study Circle and Joint Editor of QLCian. He represented Pakistan in “SAARCLAW” INTERNATIONAL MOOT COMPETITION HELD IN NEW DELHI, INDIA.

Cross-Border Merger & Acquisition

(Foreign Direct Investment)

Cross-Border Merger & Acquisitions implementation is an art, not a science. Each situation is unique and presents its own set of problems and potential solutions but it is in

fact viable vehicles for international strategy.

The globalization of business over the past decade has spawned a search for competitive advantage that is worldwide in scale. Companies have followed their customers – who are going global themselves – as they respond to the pressures of obtaining scale in a rapidly consolidating global economy. In combination with other trends, such as increased deregulation, privatization, and corporate restructuring, globalization has spurred an unprecedented surge in cross-border merger and acquisition activity.1 Cross-border mergers and acquisitions are an imperative part of the accelerated economic globalization of our time. Cross-border transaction volume now accounts for almost one-third of global M&A activity and this number will only increase as business world-wide continues to expand. The complex legal issues to be handled in such transactions encompass the coordination of different concepts of corporate governance and capital market regulations in the laws involved, as mirrored by the intense debate on M&A law making within the European Union, and for example Germany. Lawyers engaged in the M&A practice will inevitably be confronted with cross-border transactions and will have to appropriately counsel their clients in the variable aspects of the law. Cross-Border Mergers and Acquisitions and the Law, a book based on an international conference held by the Law Centre for European and International Cooperation (R.I.Z.) in cooperation with the Centre of Commercial Law Studies, the Asian Institute of International Financial Law, and the SMU Institute of International Banking and Finance, provides a comprehensive exploration of the legal implications of a cross-border merger or acquisition. Applying a comparative approach, the compilation of articles by professors, practitioners and bankers provides thorough information on topics including Business Combination Agreements; Securities Regulation and Stock Exchange Listing Requirements; Tax Considerations; International M&As and International Accounting Standards; Financial Techniques and Legal Considerations in International Mergers and Hostile Take-Over; Antitrust Laws in the United States and Europe and their Extraterritorial Reach; Bank Mergers and Bank Supervisory Law.2

Mergers and acquisitions (M&A) and corporate restructuring are a big part of the corporate finance world. Every day, Wall Street investment bankers arrange M&A

BOX 1.1 According to Securities Data Corporation, there were more than 2000 announced cross-border acquisitions in 1996 worth over $256 billion. While this represents 54% more acquisitions than in 1991, the increase in dollar value been even more remarkable, tripling during this time period. Clearly cross border M&As have become a fundamental characteristic of the global business landscape. .3

transactions, which bring separate companies together to form larger ones. When they're not creating big companies from smaller ones, corporate finance deals do the reverse and break up companies through spin-offs, carve-outs or tracking stocks. 4

In a study conducted in 2000 by Lehman Brothers, it was found that, on average, large M&A deals cause the domestic currency of the target corporation to appreciate by 1% relative to the acquirer's. For every one billion dollar deal, the currency of the target corporation increased in value by 0.5%. More specifically, the report found that in the period immediately after the deal is announced, there is generally a strong upward movement in the target corporation's domestic currency (relative to the acquirer's currency). Fifty days after the announcement, the target currency is then, on average, 1% stronger. The rise of globalization has exponentially increased the market for cross border M&A. In 1996 alone there were over 2000 cross border transactions worth a total of approximately $256 billion. This rapid increase has taken many M&A firms by surprise because the majority of them never had to consider acquiring the capabilities or skills required to effectively handle this kind of transaction. In the past, the market's lack of significance and a more strictly national mindset prevented the vast majority of small and mid-sized companies from considering cross border intermediation as an option which left M&A firms inexperienced in this field. This same reason also prevented the development of any extensive academic works on the subject.

Managing the Cross-Border Merger & Acquisition

• Process of Combination

Phase 1: Pre-combinationPhase 2: Combination planning and signing of the agreementPhase 3: Post-combination and implementation of the deal

BOX 1.2 One plus one makes three: this equation is the special alchemy of a merger or an acquisition. The key principle behind buying a company is to create shareholder value over and above that of the sum of the two companies. Two companies together are more valuable than two separate companies - at least, that's the reasoning behind M&A. Mergers are generally differentiated from acquisitions partly by the way in which they are financed and partly by the relative size of the companies

Strategic reasons for the Acquisition

In recent years “strategic” mergers have gotten a bad name, to the extent that some pundits have defined strategic mergers as those where the acquiring company overpays. While the price paid for a company is a critical determinant of the success of the resultingAcquisition, there is no inherent reason, why mergers that are strategically well conceived, should go away. In fact, the evidence is quite opposite. The recent merger of British Petroleum’s (BP) and Mobil’s downstream operations across Europe are a case in point. The strategic 3 logic for this deal says that size and market power are required to compete against the other major oil companies and even supermarket chains with gas pumps, in Europe, and significant cost savings can be realized by eliminating duplicate facilities and employees, and by rationalizing purchasing and cutting overhead. Although this merger is not without significant integration challenges, it appears to have a solid strategic logic, and indeed is considered a blueprint for similar deals among rivals such as Shell, Texaco, and Amoco. It is also an unusual merger since BP and Mobil are only consolidating their refining and marketing operations in Europe, and remain rivals elsewhere. Nevertheless, estimates of cost savings are in the range of $500 million a year, a figure which, if established and maintained, will clearly make this merger a success. The keys to establishing an effective strategic logic lie in answering questions such as:

These are difficult questions that require careful, objective & pre-acquisition analysis. The tendency for companies “in the heat of battle” to overstate the real strategic benefits of a deal is a definite problem that must be guarded against pressures that arise from the desire to close a deal quickly before rival bidders appear, cultural and sometimes language barriers that create uncertainty, and the often emotionally charged atmosphere surrounding negotiations, work against this requirement of objectivity. The best solution in this case is to enter the M&A mode with a carefully developed framework that addresses the key questions, and to stick to that framework in evaluating a potential acquisition candidate even when the seemingly inevitable strains arise. Our own research and experience indicates that the highest potential cross border M&As tend to be between firms that share similar or complementary operations in such key areas as production and marketing. When two companies share similar core businesses there are often opportunities for economies of scale at various stages of the value chain (e.g., R&D, manufacturing, sales and marketing, distribution, etc.). For example, although the merger between British Telecom and MCI remains controversial – and losses associated with MCI’s push to enter the local telephone service market in the U.S. are not reassuring – there are opportunities for value creation through common software development, shared

BOX 1.4 How will this merger create value, and when will this value be realized?Why are we a better parent for this company than someone else?Can this merger pass the “better-off” test – will we be able to create more value (by being more competitive, having a stronger cost structure, gaining additional competencies that we can leverage in new ways, etc.) after the deal? 5

capital investment, and joint purchasing agreements. The strategic logic of combining complementary assets can also be compelling. These assets, which extend to complementary competencies in technology and know-how, offer great opportunities for companies to create value in the right circumstances. For example, MCI will be a much more formidable competitor in the U.S. telephone market with the backing of BT and its prodigious cash flow. Other potential complementary benefits of this deal include the positive impact of MCI’s aggressive market-oriented corporate culture on the more conservative British Telecom, and the potential of the combination itself to be a well-positioned global competitor as evolving markets in Europe and the U.S. continue to deregulate and change. Thus, what we call “economies of fitness” arising from complementary operations or competencies can be an important source of value creation in mergers and acquisitions.6

Complications in Implementation of Cross Border M & A

Consider all that must go right in any (same-country) acquisition: The two companies must reach agreement on which products and services will be offered, which facility or group will have primary responsibility for making this happen, who will be in charge of each of these facilities or groups, where will the expected cost savings come from, what will the division of labor look like in the executive suite, what timetable to follow that will best generate the potential synergies of the deal, and myriad other issues that are complex, detailed, and immediate. On top of all this the merging companies must continue to compete and serve their customers in a competitive marketplace. Now, take all these challenges, and add a completely new set of problems that arise from the fundamental differences that exist across countries. Consider, for example, for all the similarities that a global imperative places on companies, the very real differences in how business is conducted in, say, Europe, Japan, and the United States. These differences involve corporate governance, the power of rank and file employees, worker job security, regulatory environments, customer expectations, and country culture – all representing additional layers of complexity that executives engaged in cross-border M&As must manage. Is it any wonder that cross border mergers are potential minefields that require the utmost care? Fortunately, there are some basic principles that will make cross-border

BOX 1.3 Due to the complicated nature of cross border M&A, the vast majority of cross border actions have unsuccessful results. Cross border intermediation has many more levels of complexity to it then regular intermediation seeing as corporate governance, the power of the average employee, company regulations, political factors customer expectations and country’s culture are all crucial factors that could spoil the transaction. Because of such complications, many business brokers are finding the International Corporate Finance Group and organizations like it to be a necessity in M & A today.7

mergers work more smoothly. They can be divided into the imperatives of strategic logic and acquisition integration.8

Legal Barriers Tax BarriersImplications of

Supervisory RulesEconomic Barriers

Attitudinal Barriers

a) Execution

Risks

1. Legal uncertainty2. Opaque decision

making processes3. Legal structures

4. Limits or controls on foreign participations

5. Defense mechanisms6. Impediments to

effective control7. Difficulties to assess

the financial situation

14. Uncertainty on Tax arrangements15. Uncertainty on

VAT regime

23. Concerns regarding financial stability24. Misuse of

supervisory Powers25.Supervisory

Approval Process

35. Political Interference36. Employee’s

reluctance37. Shareholder acceptance of

quotation changes38.Shareholder and

analyst apprehension of

failure risk

b) On-Off Costs

8. Restriction on offers 16. Exit tax on capital gains

28. Fragmentation of the European

Commercial Market

C) On-Going Cost

9. Employment legislation

10. Accounting systems11. Divergent consumer

protection rules12. Data protection

13. Differences in Private Law

17. Transferring Pricing

18. Inter-Group VAT19. No Homogenous Loss Compensation20. Specific Domestic

Tax breaks21.Discriminatory Tax

Treatments22. Taxation on

Dividends

26. Divergences in supervisory Practices27. Multiple reporting

requirements

29. Different Product Mixes30.Non-

Overlapping Fixed Costs

31. Lack of middle-size institutions32. Absence of

critical size33.Market Power34. Differences in Economic Cycle

39. Political Concessions40. Consumer

Mistrust in foreign entities

Summary of Barriers in Implementation of Cross-Border M&A9

Cultural Integration in the Process of Cross-Border Merger and Acquisition

Cross-border mergers and acquisitions (M&A) play an important part in foreign direct investment (FDI). In the process of cross-border M&A, the enterprises involved will encounter cultural differences and conflicts. How to integrate these cultural differences and eliminate the conflicts becomes an important issue for the enterprises. Cultural integration eliminates conflicts arising from cultural differences by organizing and amalgamating the values, psychological states and behavior modes of different communities. The cross-border M&A cultural integration inherits and rectifies the psychological contract of the target company for minimizing the amount of cultural conflicts and forming the diversity and unity due to the cultural differences in multi-national enterprises (Gu & Xue, 2004). Cross-border M&A cultural integration seek to reduce cultural differences as much as possible in the acquired company. Therefore, whether the cultural integration is successful or not is critical to the success or failure of a cross-border M&A. In general, the following problems should be solved in cultural integration of cross-border M&A. First, it should coordinate the cultural differences of peoples and states to promote understanding and communicating between the different

communities in one enterprise and to avoid the negative influence arising from the different thinking models, behaviors, and values. Second, it should coordinate the different company cultures to eliminate the barriers in leadership styles, communication models, personnel system, performance appraisals, and social security benefits. Third, it should establish the company’s core values by integrating diverse cultures to improve the company’s creativity and competitiveness. Fourth, the effective integration of the companies’ cultures could provide conditions beneficial for the integration of operations. Therefore, cultural integration of cross-border M&A plays an important role in helping the company maximize its capital, technique, sales, and other advantages.

Method for Cultural Integration of Cross-Border M&A

Cultural integration of cross-border M&A is a process to coordinate diverse cultures and make them mutually exist and develop within an enterprise. However, cultural integration is not as simple as merging all the different cultures into one, but a process to form a new multinational corporate model by selecting, absorbing, and integrating cultures. Cross cultural management is an effective method of realizing the cultural integration of cross-border M&A successfully. Cross-cultural management refers to a system that an enterprise, in the course of M&A, selects adaptive pattern of cross-culture management, overcomes conflicts and unfavorable influences, converts the negative factors into positive factors, and gains power of the cultural synergy. Cross-cultural management has its own principles and patterns, which shall be followed in the process of fulfilling cross-cultural management. Basic principles of cross-cultural management lie in respecting and understanding the cultures of others, placing importance on communication, and making adaptive changes. People are the core of cross-cultural management. Culture is reflected in the thinking and behavior of people. Management is all about getting the best performance out of people. The buyer should respect the culture of the target company and try to understand the culture. The company should not use fixed values to judge the other company’s culture, but should synthesize the company’s strategic significance with its culture. Communicating with each other effectively and understanding each others’ culture is the most effective way to eliminate cultural conflicts. Establishing a new culture after M&A is the amalgamation of different cultures and need not have the cultural imprint of a certain country or nationality. It will be a combination of different cultures. These four principles are interdependent and in the whole make up the basic principles of Cross-cultural management. There are four models of cross culture management to resolve the cultural differences between the buyer and target companies. The first model is localization strategy, which refers to when each subsidiary of the company located in other regions or nations is regarded as an independent entity so that the strategy and decision of the subsidiary can be made according to the local conditions. The parent company’s operating model is not imposed on the subsidiary. Rather, the management policy is made according to the local conditions. When the company is recruiting managers or other staff, there is little consideration given to their nationality or where they come from. The buyer respects the local culture and benefits from the localization strategy. The second model is transplanting the culture of the parent company. In this model, the buyer appoints its people to manage the target company in order to guarantee communication between the buyer and the target, and the buyer

supervises and controls the target. As a result, the buyer can transplant its culture into the target company and gradually get the local staff to accept its culture. The third model is the cultural innovation by integration. In this model, the cultures of buyer and target companies coexist; a new culture and management pattern are formed through the integration of the two cultures. Cultural innovation can maximize the cross-cultural advantage. The fourth pattern uses evasion tactics. In this model, when there is a tremendous cultural gap between the buyer and the target, it is necessary for the manager appointed by the buyer to avoid the key cultural differences. Under this circumstance, the third party shall be asked to bridge the gap between cultures. This model does not address the problem and has considerable limitations. In general, it only can be used as a transitional method. Buyers can select one or a combination of two or more of these four patterns, taking into consideration the cultural character of themselves and their targets, to culturally integrate.10

The role of Human Resource Management and Cross-Border M&A

The role of HRM in cross-border M&As before conducting our analysis, we briefly review the nature of the merger process. The literature has dissected the M&A process into three main stages: pre-announcement; pre-merger; and integration. The pre-announcement stage involves due diligence. Issues discussed among potential merging firms in this stage are M&A strategy and the financial structure of the deal. The pre-merger stage occurs between the announcement of the merger and its closing date and includes planning for the integration, such as communicating expected roles in the newly formed entity. The integration stage implies the physical integration of the various elements of the M&A following the closing date, including personnel. In theory, HRM can have an influence on the success of M&As in each stage of the process. For example, during the pre-merger stages, HRM tends to focus on ensuring legal compliance, such as with regard to equal opportunity and collective bargaining agreements (Mirvis and Marks, 1992). HRM can also begin the planning process following deal announcement, for instance by managing retention agreements and assessing compensation differences between the potentially merging entities. Nevertheless, evidence and practice indicate that the main role in which HR can influence M&As is in the integration stage, when M&A practices and policies are implemented. 11

Foreign Acquisitions And Mergers With the rapid growth in Pakistan's economy, foreign investors are taking a keen interest in the corporate sector of Pakistan. In the recent years, majority stakes in many corporations have been acquired by multinational groups. 12

Cross-border M&A purchases: Asia Pacific, 1990-1996 (In US Million $) 13

  Total 1990-1996

1990 1991 1992 1993 1994 1995 1996

PICIC by Singapore based Tamasek holdings for $339 million Union Bank by Standard Chartered bank for $487 million Prime commercial bank by ABN Amro for $228 million PakTel ltd by China Mobile Ltd for $460 million Additional 57.6 percent shares of Lakson Tobacco company acquired by

Philip Morris international for $382 million

 Deals Value Deals Value Deals Value Deals Value Deals Value Deals Value1 Deals Value Deals Value

Japan

3,178 93,813.371 699 25,132.680 550 8,958.815 320 12,525.037 306 7,193.867 350 10,466.546 498 16,963.018 455 12,573.408

Hong Kong

650 30,907.742 39 1,132.169 55 852.118 80 9,558.622 141 8,388.019 145 3,413.563 111 3,920.997 79 3,642.254

Australia

584 23,683.622 77 2,084.391 71 1,039.310 75 2,733.147 71 2,965.759 106 3,855.686 102 5,568.624 82 5,436.705

Malaysia

356 15,439.766 5 160.151 13 235.455 15 143.348 41 1,219.861 98 7,020.704 86 1,252.910 98 5,407.337

Korea

337 15,200.842 30 475.412 28 374.522 26 778.774 24 846.762 53 3,555.335 95 6,012.351 81 3,157.686

Singapore

518 11,912.602 23 243.150 23 416.790 41 553.801 85 2,117.315 124 1,810.581 115 2,764.603 107 4,006.362

China

187 11,810.122 4 1,336.400 4 102.780 27 1,688.302 70 5,450.280 29 1,635.793 34 200.392 19 1,416.175

Thailand

128 7,290.200 3 0 6 14.710 10 1,638.400 19 533.361 33 180.618 34 3,576.788 23 1,346.323

Taiwan

163 6,976.457 23 1,259.429 11 136.560 18 1,001.315 23 882.184 20 760.024 45 821.228 23 2,115.717

New

Zealand 117 4,145.969 31 974.417 11 141.150 17 603.117 17 807.938 15 78.177 11 481.409 15 1,059.761

Indonesia

76 2,307.838 3 187.300 6 57.970 6 106.450 13 247.349 14 519.328 23 614.827 11 613.993

India

52 1,512.147 1 0 4 270.000 8 421.916 1 0 12 619.460 21 200.777 5 0

Philippines

21 515.190

   3 18.450 5 50.500

   5 433.240 5 11.000 3 2.000

Brunei

8 470.663

   1 4.400

   1 202.000 1 1.000 3 81.700 2 181.563

Pakistan

2 107.206

       

1 106.667

           

1 0.539

Vietnam

9 27.060 1 0 1 0 2 19.500

   3 4.500 1 1.500 1 1.560

Bangladesh

1 11.867

                   1 11.867

   

Macau

2 10.000

               1 10.000

   1 0

Cambodia

2 7.650

       1 0

   1 7.650

       

Nepal

1 3.400

                       1 3.400

Myanmar

2 1.020

               1 0

   1 1.020

Mongolia

1 0.76

               1 0.76

       

Total

6,390 226,153.71 939 32,985.50 786 12,623.03 652 31,928.90 812 30,854.70 1,010 34,372.21 1,185 42,483.99 1,006 40,964.78

“These cross-border transactions enable clients to achieve global reach through international acquisitions, and to maximize value through the sale of their business to

international strategic acquirers.”

Major M&A in 1990’s 14

Rank Year Purchaser Purchased Transaction value (in mil. USD)

1 1999 Vodafone AirTouch Mannesmann 183,0002 1999 Pfizer Warner-Lambert 90,0003 1998 Exxon Mobil 77,2004 1999 Citicorp Travelers Group 73,0005 1999 SBC Communication Ameritech Corp. 63,0006 1999 Vodafone Group AirTouch 60,0007 1999 Bell Atlantic GTE 53,6308 1998 BP Amoco 53,0009 1999 Qwest Communication US West 48,00010 1997 WorldCom MCI Communicarion 42,000

Major M&A from 2000 to Present 1 5 Rank Year Purchaser Purchased Transaction value

(in mil. USD)

1 2000 America Online Inc. Time Warner 164,7472 2004 Glaxo Wellcome SmithKline Beecham Plc. 75,9613 2004 Royal Dutch Shell Transport 74,559

Petroleum Co. & Trading Co4 2006 AT&T Inc. Bell South Corp. 72,6715 2001 Comcast Corporation AT&T Broadband 72,041

& Internet Service6 2004 Sanofi-Synthelabo Aventis SA 60,2437 2000 Spin-off: Nortel 59,974

Networks Corporation8 2002 Pfizer Inc. Pharmacia Corporation 59,5159 2004 JP Morgan Chase Bank One Corp 58,761

& Co10 2000 Fusion: America Time Warner 164,747

Online Inc.

Notes and References

1. This is a summary of an article that appeared in Financial Times Mastering Global Business: The Complete MBA Companion in Global Business, London: Financial Times Pitman Publishing.Finkelstein, S. 1999. "Safe ways to cross the merger minefield." p. 119-123.Sydney Finkelstein is the Steven Roth Professor of Management at the Tuck School of Business at Dartmouth

2. Cross-Border Mergers and Acquisitions and the Law: A General Introduction (Studies in Transnational Economic Law) www.target.com.

3. Cross-Border Mergers and Acquisitions by Sydney Finkelstein

4. www.wikipedia.org 5. FDI into Pakistan jumps 180.6% in 1st 9 months of FY06 6. Pakistan News Service - PakTribune 7. Daily Times - Leading News Resource of Pakistan 8. Private Equity in Pakistan, Israel, and Egypt , by Sethi, Arjun Nov 2007, accessed December

29, 2007. 9. Macroeconomic Stability of Pakistan: The Role of the IMF and World Bank (1997–2003) 10. International Management Review Vol. 3 No. 2 2007 The Cultural Integration in the Process

of Cross-border Mergers and Acquisitions Zhanwen Zhu, Haifeng Huang China’s Research Center for Economic Transition, Beijing University of Technology, China

11. The role of human resource management in cross-border mergers and acquisitions Ruth V. Aguilera and John C. Dencker Int. J. of Human Resource Management 15:8 December 2004 1355–1370

12. Lien, Kathy (2005-10-12). Mergers And Acquisitions - Another Tool For Traders. Investopedia. Retrieved on 2007-06-17.

13. Courtesy KPMG14. &15. Facts collected from Wikipedia

Further Notes

Ahmad, Viqar and Rashid Amjad. 1986. The Management of Pakistan’s Economy, 1947-82. Karachi: Oxford University Press.

Ali, Imran. 1997. ‘Telecommunications Development in Pakistan’, in E.M. Noam (ed.), Telecommunications in Western Asia and the Middle East. New York: Oxford University Press.

Ali, Imran. 2001a. ‘The Historical Lineages of Poverty and Exclusion in Pakistan’. Paper presented at Conference on Realm, Society and Nation in South Asia. National University of Singapore.

Ali, Imran. 2001b. ‘Business and Power in Pakistan’, in A.M. Weiss and S.Z. Gilani (eds), Power and Civil Society in Pakistan. Karachi: Oxford University Press.

Ali, Imran. 2002. ‘Past and Present: The Making of the State in Pakistan’, in Imran Ali, S. Mumtaz and J.L. Racine (eds), Pakistan: The Contours of State and Society. Karachi: Oxford University Press.

Ali, Imran, A. Hussain. 2002. Pakistan National Human Development Report. Islamabad: UNDP.

Ali, Imran, S. Mumtaz and J.L. Racine (eds). 2002. Pakistan: The Contours of State and Society. Karachi: Oxford University Press.

Amjad, Rashid. 1982. Private Industrial Investment in Pakistan, 1960-70. London: Cambridge University Press.

Andrus, J.R. and A.F. Mohammed. 1958. The Economy of Pakistan. Stanford: Stanford University Press.

Barrier, N.G. 1966. The Punjab Alienation of Land Bill of 1900. Durham, NC: Duke University South Asia Series.

Jahan, Rounaq. 1972. Pakistan: Failure in National Integration. New York: Columbia University Press.

Kessinger, T.G. 1974. Vilyatpur, 1848-1968. Berkeley and Los Angeles: University of California Press.

Kochanek, S.A. 1983. Interest Groups and Development: Business and Politics in Pakistan. New Delhi: Oxford University Press.

LaPorte, Jr, Robert and M.B. Ahmad. 1989. Public Enterprises in Pakistan. Boulder, Colorado: Westview Press.

Latif, S.M. 1892. Lahore. Lahore: New Imperial Press, reprinted 1981, Lahore: Sandhu Printers.

Low, D.A. (ed.). 1991. The Political Inheritance of Pakistan. London: Macmillan.

Noman, Omar. 1988. The Political Economy of Pakistan. London: KPI.

Papanek, G.F. 1967. Pakistan’s Development: Social Goals and Private Incentives. Cambridge, Massachusetts: Harvard University Press.

Raychaudhuri, Tapan and Irfan Habib (eds). 1982. The Cambridge Economic History of India, 2 vols. Cambridge: Cambridge University Press

White, L.J. 1974. Industrial Concentration and Economic Power. Princeton, N.J.: Princeton University Press.

Ziring, Lawrence. 1980. Pakistan: The Enigma of Political Development. Boulder, Colorado: Folkestone.

Ali, Imran. August 2002. ‘The Historical Lineages of Poverty and Exclusion in Pakistan’, South Asia, XXV(2).

Ali, Imran and S. Mumtaz. 2002. ‘Understanding Pakistan—The Impact of Global, Regional, National and Local Interactions’, in Imran Ali, S. Mumtaz and J.L. Racine (eds), Pakistan: the Contours of State and Society. Karachi: Oxford University Press.

Hasan, Parvez. 1998. Pakistan’s Economy at the Crossroads: Past Policies and Present Imperatives. Karachi: Oxford University Press.

Hussain, Ishrat. 1999. Pakistan: The Economy of an Elitist State. Karachi: Oxford University Press.

Straub, Thomas: Reasons for frequent failure in Mergers and Acquisitions - A comprehensive analysis, Deutscher Universitätsverlag, Wiesbaden 2007. ISBN 978-3835008441

Platt, Gordon. Cross-Border Mergers Show Rising Trend As Global Economy Expands. findarticles.com. Retrieved on 2007-08, www.wikipedia.org

Abbrevations

FDI Foreign Direct Investment M&A Mergers and acquisitions 

SBP State Bank Of Pakistan

BP British Petroleum

MCI Microwave Communications, Inc.

HRM Human Resource Management