Startup acquisitions, relocation, and employee entrepreneurship

Employee Rights and Acquisitions

This paper examines the outcomes of corporate acquisitions from the perspective of stakeholdershareholder agency conflicts. Using state variation in labor rights laws, we find that acquirers with strong labor rights experience lower announcement returns. The effect can be attributed to such acquirers pursuing deals that are not in the best interest of the acquirer’s shareholders. The negative e...

Employee Entrepreneurship: Recent Research and Future Directions

Enabling Employee Entrepreneurship in Large Technology Firms

Managers of large technology firms are routinely expected to improve the performance of their development projects. This expectation arises because of the need for firm competitiveness and because externalization of technology development through outsourcing and acquisition is an alternative to internal product projects (Granstrand and Sjölander, 1990; tinyurl.com/mhtrv77). Improvements can tak...

Effect of employee job satisfaction on organizational entrepreneurship

  An entrepreneurial organization is always ready and able to adapt too many essential changes in the external environment, and plan their programs for changing environmental needs.This research has been done to identify the effect of job satisfaction on organizational entrepreneurship in the municipality. The methodology of the research in terms of the main strategy is a quantitative met...

Will I Get Paid? Employee Stock Options and Mergers and Acquisitions∗

We analyze how rank-and-file employee compensation contracts of target firms affect the negotiations of merger terms and merger outcomes. Using unique data from merger agreements, we document that in 80% of all deals at least some of the target’s employee stock options are canceled by the acquirer. Employees lose approximately half of their option value in the average M&A deal. By exploiting th...