7. CONCLUSIONS AND RECOMMANDATION
7.2 R ECOMMENDATIONS ON F URTHER R ESEARCH
The investigation of this dissertation focused on analyzing how relative sizes between combining firms influence post-merger performance in the short-run and long-run.
The results of the analysis showed the existing influence of relative size in post-merger performance. Based on what has been revealed in this dissertation, three additional ideas are provided for future research.
Firstly, the measuring model used in this dissertation is the mean-adjusted model, which aims to compare the performance of the combined firms to the average performance of the acquirers before mergers. Using this model is due to the data availability; therefore, it is recommended that different models can be used for more completed examinations in the future.
Secondly, because the investigating results might differ in accordance to scopes of time, geography, and industry, similar research can be done in different scopes, so that the existence of size impact can be ensured with more conclusive proofs.
Finally, because long-term post-merger performance in the investigation had been largely negative up to the fifth years after mergers, even longer post-event window might be used in further research to see until when the performance turn out to be positive.
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