Macroeconomic factors affecting merger and acquisition activity in Vietnam

Abstract

The purpose of this article is to analyze the macroeconomic factors influencing M&A activity in the Vietnamese market, analyzing both short-run and long-term. The theoretical foundation is analyzed and synthesized from previous studies. Quantitative research methods and vector error correction model were employed to analyze time series data. The results of the study indicate that, in the long run, M&A activity is affected by money supply, political risk and economic growth. In the short term, the factors that have impact on M&A is tax burden, institutional and regulatory factors.