| This study examined the influence of organizational vision statements, CEO characteristics, and CEO behaviors on organizational strategy selection, implementation behaviors, and performance during corporate acquisitions. The sample was composed of 187 pairs of publicly traded firms in the manufacturing industry involved in large completed majority acquisitions that occurred between 2000 and 2001. The results from this study suggest that decisions made in selecting acquisition targets, settling on the acquisition premium to be paid, and determining the level of post-acquisition integration can be predicted by the value core of the corporate vision statement and CEO hubris. In addition, and possibly more importantly, the present study demonstrated that charismatic and contingent reward leadership behaviors communicated to internal and external stakeholders by the CEO meaningfully impact the ultimate effectiveness of the decisions made during corporate acquisitions. |
