Lefouili, YassineIdRefORCIDORCID: https://orcid.org/0000-0003-4966-7212 and Madio, Leonardo (2026) Mergers and investments : where do we stand ? International Journal of Industrial Organization, Vol. 105 (103269).

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Identification Number : 10.1016/j.ijindorg.2026.103269

Abstract

In this paper, we review recent studies on the impact of mergers on investments. We begin by examining how mergers among competing incumbents inf luence firms’ incentives to develop new products and undertake cost-reducing or quality-enhancing investment. We then analyze how an incumbent’s acquisition of an innovative entrant affects the investment incentives of both parties. Next, we discuss the effects of vertical mergers on the investment decisions of both upstream and downstream firms. Finally, we highlight several policy-relevant insights from the literature and suggest directions for future research.

Item Type: Article
Language: English
Date: April 2026
Refereed: Yes
Place of Publication: Amsterdam
Uncontrolled Keywords: Competition, Investment, Innovation, Mergers, Entry
JEL Classification: D43 - Oligopoly and Other Forms of Market Imperfection
L13 - Oligopoly and Other Imperfect Markets
L40 - General
Subjects: B- ECONOMIE ET FINANCE
Divisions: TSE-R (Toulouse)
Site: UT1
Date Deposited: 09 Mar 2026 13:30
Last Modified: 13 Mar 2026 14:22
OAI Identifier: oai:tse-fr.eu:131499
URI: https://publications.ut-capitole.fr/id/eprint/52544

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