Leveraging the new infrastructure: how market leaders capitalize on information technology
Leveraging the new infrastructure: how market leaders capitalize on information technology
Information rules: a strategic guide to the network economy
Information rules: a strategic guide to the network economy
Opening the "Black Box" of Network Externalities in Network Adoption
Information Systems Research
Innovation and Control in Standards Architectures: The Rise and Fall of Japan's PC-98
Information Systems Research
Who Says Elephants Can't Dance?: Inside IBM's Historic Turnaround
Who Says Elephants Can't Dance?: Inside IBM's Historic Turnaround
Journal of Management Information Systems - Special issue: Impacts of information technology investment on organizational performance
Discovering potential and realizing value from information technology investments
Journal of Management Information Systems - Special issue: Impacts of information technology investment on organizational performance
Journal of Management Information Systems - Special issue: Impacts of information technology investment on organizational performance
Journal of Management Information Systems
Measuring the organizational impact of information technology investment: an exploratory study
Journal of Management Information Systems - Special section: Realizing value from information technology investment
Two-Sided Network Effects: A Theory of Information Product Design
Management Science
Journal of Management Information Systems
Limits to Value in Electronic Commerce-Related IT Investments
Journal of Management Information Systems
Should We Wait? Network Externalities, Compatibility, and Electronic Billing Adoption
Journal of Management Information Systems
A Model of Neutral B2B Intermediaries
Journal of Management Information Systems
Journal of Management Information Systems
Managing Information Technology Investment Risk: A Real Options Perspective
Journal of Management Information Systems
Theoretical Justification for IT Infrastructure Investments
Information Resources Management Journal
Special Section: Competitive Strategy, Economics, and Information Systems
Journal of Management Information Systems
Journal of Management Information Systems
Value creation using alliances within the software industry
Electronic Commerce Research and Applications
Information Systems Research
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The existence of product complementarities is especially relevant in network-type industries, such as information technology and communications, where systems of complementary components made by different manufacturers have to be assembled. Relying on the characteristics of software markets and drawing on the economic theory of complementarities, this paper investigates how complementarities create value in mergers and acquisitions between software companies. We introduce and empirically validate the software stack as a structure to measure complementarities. In a sample of mergers and acquisitions, in which either the acquirer or the target is a software firm, we find values of abnormal returns consistent with previous results. However, when we use the concept of stack, we find an inverse curvilinear relationship between abnormal returns and the distance between acquirers and targets in various layers of the stack.