Language Similarity and M&A Transactions
研究中国并购交易中收购方与目标方语言相似性对并购后绩效的影响，发现共享母语能提升运营绩效，且沟通渠道是主要作用机制。
We investigate how language similarity between acquirers and targets affects post-M&A performance using a large sample of M&A transactions in China. We hypothesize and find that acquirers achieve higher post-M&A operating performance when they acquire targets that share the same native languages. We provide evidence that language similarity enhances post-M&A performance via the communication channel. Additionally, we show that the impact of language similarity is more pronounced when acquirers are not controlled by government agencies and when they are not related parties of targets. This study indicates an important role of native language similarity on post-M&A performance.