Against the backdrop of the digital economy development, the factors influencing cross-border merger and acquisition (M&A) decisions can no longer be adequately explained by a linear “net effect” analysis. The purpose of this study is to examine the motivations behind cross-border M&As within the context of the digital economy from a holistic perspective.
We select 51 cross-border M&A cases undertaken by Chinese enterprises between 2013 and 2023 as the sample and adopt the Fuzzy-set Qualitative Comparative Analysis (fsQCA) method to explore distinct configuration types of cross-border M&As.
By drawing on three key dimensions – institutional environment, resource endowment and enterprise heterogeneity – and seven antecedents of M&A activities, we identify six configurations, which can be categorized into three primary M&A driving models: market-seeking M&As by traditional enterprises, technology-digital-seeking M&As by digitally-transforming enterprises and digital-market-seeking M&As by digitally-leading enterprises.
This study addresses the limitation of previous research that relied on conventional linear causality logic and provides a comprehensive analysis of the complex configurational combinations and inherent mechanisms that drive cross-border M&As in the digital economy era, thereby refining and extending previous research.
