Ontology highlight
ABSTRACT:
SUBMITTER: Gudmundsson SV
PROVIDER: S-EPMC7449883 | biostudies-literature | 2020 Dec
REPOSITORIES: biostudies-literature
Gudmundsson Sveinn Vidar SV Merkert Rico R Redondi Renato R
Transport policy 20200827
The purpose of this research is to test the ex-post cost structure effects in horizontal mergers and acquisitions (M&A). Our proposed methodology quantifies cost structure effects empirically to inform competition policy around M&As in the airline industry. The results show that horizontal M&As involving unprofitable firms significantly reduce variable costs and increase fixed costs ex-post. M&As involving only profitable firms show no significant impact on the cost structure. We offer support t ...[more]