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Submitted By nekia84
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Article Review The article I read deals with the opportunities that come from crisis’s such as environmental jolt, corporate acquisitions, and firm performance. William Wan and Daphne Yiu work demonstrates that firms can capitalize on the opportunities created by the changes in an environmental jolt. According to the Chinese crises are times of danger, but also times of opportunity. According to the article an environmental jolt is a change in resources available in the economy. When certain resources begin to hurt the economy people will find a strategy to make something positive out of the situation. Organizational slack can create positive relationship between corporate acquisitions and firm performance during an environmental jolt but there would be a negative jolt before and after. Jansen and Meckling are trying to prove this theory by taking sample firms from Hong Kong and Singapore. First of all organizational actions need to fit with the external environment changes meaning that you need to keep up with environmental changes. You need to know your companies strengths and weaknesses. Corporate strategy is widely used and brings a lot of benefits that also involve several risks. When you take over another company you eliminate potential threats. With an environmental jolt it makes it easy to take over another company. The article was very interesting. They discussed several interesting topics and terms that I haven’t heard before. I feel like this is something that we can relate to now because of all the economic crisis’s that we are going though now. We have witnessed many corporate mergers and acquisitions of other corporations because they can’t survive these hard times.

Works Cited
Wan, William, Yiu, Daphne. "FROM CRISIS TO OPPORTUNITY: ENVIRONMENTAL." Strategic Management Journal 3006 Nov 2008 791-801. Web.20 May

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