Reputational risk in mergers and acquisitions on the global banking market

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Published:
Mar 28, 2015
Issue
No. 109 (2015)
Section
Artykuły
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Ewa Miklaszewska
Katedra Finansów, Uniwersytet Ekonomiczny w Krakowie
https://orcid.org/0000-0003-2208-683X

DOI: https://doi.org/10.22630/EIOGZ.2015.109.8
Abstract
One of the typical problems in merger and acquisition is the post-merger integration of corporate culture, including the management of reputation risk. This is a relatively new problem, as the reputational risk was not initially included in the Basel Committee recommendations. The post-crisis period brought increased interest in this type of risk. The purpose of this article is therefore to trace the sources of reputational risk and consequences of the problems associated with the negative reputation of the bank, focusing on large global institutions. Numerous empirical examples have shown that reputational risk is more important for large than for small banks, as well as those of smaller capitalization and consequently should be an important factor in consolidation processes. Reputational problems may result in either bankruptcy after the scandal, or long-term loss of customers and business partners, leading to the destruction of the brand and company image.

Article Details

How to Cite
Miklaszewska, E. (2015). Reputational risk in mergers and acquisitions on the global banking market. Zeszyty Naukowe SGGW - Ekonomika I Organizacja Gospodarki Żywnościowej, (109), 97–106. https://doi.org/10.22630/EIOGZ.2015.109.8
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