Leveling the M&A playing field

MSLGROUP study reveals Chinese companies must often bear the burden of paying a 15 to 20 percent premium in an overseas acquisition. Where does the playing field differ?
People would clearly prefer for their company to be acquired by a company from their own region. Asia comes second last to the Middle East
Eastern Europe
11.4% 56.9% 62.2% 2.8% 83.3% 20.8% 21.3% 10% 7.3%

Western Europe
0.2% 4.3% 3.1% 2.3%

Asia

North America

8.1%

6.1%

Middle East Location of respondents

U.S. U.K. France

58%

consider the prospect of their company being acquired by a Chinese company as a threat

Four out of five

More than half rated their level of concern at 1 or 2 on a scale of 7. (1 being most concerned)

of the most pressing concerns are fundamental issues - working conditions, job losses, management style and ethical issues

57%
26.9%

said they would be concerned if someone from China headed the company where they work

US employees appear to be most concerned about their company being the target of an acquisition
51.5% 25.0% 25.1% 24.6%

U.S.
7 100% 90% 6 5 80% 70% 4 60% 50% 3 40%

U.K.
2 30% 20%

France
1 10% 0%

Average

Corporate culture should not be underestimated

84.2% 55.5% 65.8% 68.5%

Corporate culture is clearly more important in the US than in the UK or France

Q: Is a companys culture important to you?

82.1% 55.6% 67.2% 68.3%

said they believe the culture of a company influences their work performance
Q: In your opinion, how much does the culture within a company influence your work performance?

Four out of five

77.3% 54.9% 65.0% 65.7%

two thirds

said a companys corporate culture would influence their decision to work there
Q: Would the status of a companys culture influence your decision to work there?

U.S.

U.K.

France

Average

MSLGROUP questioned over 1,600 people aged 18 and over and living in the United States, United Kingdom and France from April 13 - 17, 2013. Using the Internet to question over 500 people in each of those countries, the aim was to be able to analyze their perceptions about corporate culture, their views about M&A, and Chinese companies buying companies in their respective home markets. www.mslgroup.com