Developments, trends, business climate, conditions, factors influencing the efficiency and results of mergers and acquisitions (M&A) in the energy sector are explored in this research. PESTLE (political, economic, social, technological, legal, environmental) analysis was performed in order to determine the driving forces of M&As in the energy industry. Considering the motivation and main questions of the study, a sample of global M&A deals that have occurred during the period 1995–2020 has been analyzed. DataStream 5.1 database by Thomson Reuters was employed to identify the sample of global energy companies that took over another company in the period 1995–2020. According to the research, while the role and presence of M&As in the energy industry are increasing, the purpose of the M&A deals has changed remarkably. During 1995–2010, most M&A events were conducted in order to explore synergies and benefit from cost reduction. Since the last decade, firms are pursuing M&As in the search of growth opportunities, ensuring supply and reflecting demand for green development of ecological environment and ongoing changes in the nature of energy.
The energy sector is experiencing various transformations. Simultaneously, merger and acquisition (M&A) activities in the sector are surging globally. Extensive research has focused on and analyzed M&As from the perspective of acquirer- and target-level financial performance. In comparison, a significantly lower number of studies have analyzed the macroeconomic impact of M&A activities. The field of and interests in sustainability have also been expanding in recent decades. Sustainable development goal 7 (SDG7), which calls for “affordable, reliable, sustainable and modern energy for all” by 2030, is among other sustainable development goals that were established by the UN (United Nations). However, the synthesis of indicators for measuring sustainable development and M&A performance remains a relatively vaguely explored field. Here, we perform SALSA (search, appraisal, synthesis, and analysis) and analyze which M&A and sustainable development performance indicators may be used when analyzing M&A within the energy sector. The employment of an eligible set of indicators measuring sustainable development and M&A performance may be used by practitioners, governments, and scholars for the purpose of monitoring, tracking, and the communication of the progress. The results imply that most popular sustainability measurements are indicators for sustainable energy development (ISED). There is a growing number of studies focusing on and applying country-specific methodologies. The measurement of M&A and sustainability performance faces difficulties in practice implementation due to a lack of availability of data, information, and databases, etc.
Income inequality projects a different impact on economic growth as it can both stimulate and slow down economic growth. The stimulating effect of income inequality is revealed via saving. Specifically, wealthy social classes dispose the capability to save more and devote a larger portion of their saving to investments and technological developments. However, environmental and social perspectives shall be taken into consideration when aiming for a sustainable development. This paper considers the effects of income inequality on sustainable economic growth in the context of saving for the EU-25 countries during the period of 2005-2013. The empirical research of this study is done using open code software package Gretl and working with panel data. Based on the relationship between income inequality ratio, economic growth and GDP per capita, countries have been divided into 4 clusters. Empirical results support impact of reciprocal action among income inequality, savings, economic growth, spending on social security to domestic material consumption, renewable energy in gross final energy consumption, municipal waste generation, municipal waste recycling, ammonia and greenhouse gas emissions to be insignificant in all four country cluster groups. Reciprocal action among income inequality, savings, economic growth, and spending on social security was estimated to increase emission of sulfur dioxides and nitrogen oxides, but reduced the amount of gross domestic energy consumption. The reciprocal action is estimated to increase emission of nitrogen oxides in the country cluster groups with relatively low income level and different relationship between income and economic growth levels.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.
hi@scite.ai
10624 S. Eastern Ave., Ste. A-614
Henderson, NV 89052, USA
Copyright © 2024 scite LLC. All rights reserved.
Made with 💙 for researchers
Part of the Research Solutions Family.