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Juan de la Guardia
Juan de la Guardia
Mechanical Engineer, MBA
Madrid

Public Documents 2
MERGERS & ACQUISITIONS IN ELEVATOR INDUSTRY: THE ROLE OF ICTs TO AVOID INFORMATIO...
Juan de la Guardia
Miguel Palacios

Juan de la Guardia

and 2 more

January 31, 2024
Mergers and Acquisitions operations continues to be one of the most explored growth strategies globally in all markets, and also in the Elevator Industry. Volume of investments grows year after year. It is the fastest way to grow in international and domestic markets, but the reality is that a high percentage of the operations carried out do not meet the expectations of the investors when the integration phase, called the post-acquisition phase, has been completed. There are several causes of failures on mergers and acquisitions processes, such as lack of commitment from the management, unrealistic business plan, cultural shock, etc … But the most common and the one with the highest risk in an acquisition decision, is the asymmetry of information. During the negotiation phase a large amount of data is collected, and subsequently analyzed during the Due Diligence period, but does not correspond to reality during the integration phase. That is, the information that the seller has provided, and has been studied and analyzed to take a decision of acquire by investors, has not been the real and complete one. In this article we will propose how the asymmetry information can be avoided by the application of Information and Communication Technology (ICT) through the IoT of the elevators. Same can be applied to other industries.
MERGERS & ACQUISITIONS IN THE ELEVATOR INDUSTRY: THE USE OF ICTs TO AVOID INFORMA...
Juan de la Guardia
Miguel Palacios

Juan de la Guardia

and 2 more

December 18, 2021
Mergers and acquisitions operations continue to be one of the most explored growth strategies in all markets, and this is indeed the case in the elevator industry. The volume of investments grows year after year. It is the fastest way to grow in international and domestic markets, but the reality is that a high percentage of the operations carried out do not meet the expectations of the investors once the integration phase has been completed. There are several causes of failures in mergers and acquisitions processes, such as lack of commitment from the management, an unrealistic business plan, cultural shock, etc. But the most common one, and the one with the highest risk in an acquisition decision, is information asymmetry. During the negotiation phase a large amount of data is collected, and subsequently analyzed during the due diligence period, but it may not correspond to the reality during the integration phase. In this article we will propose how information asymmetry can be avoided through the application of information and communication technologies (ICTs) via internet of things (hereinafter IoT) devices in the elevator industry. This can also be applied to other industries.

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