Ernst & Young has recently released the Global Transaction Leaders Study 2007

The survey, based on conversations with more than 300 senior executives from 95 companies in 15 countries, reveals that 83% of respondents are looking to the emerging markets for strategic transactions. However, less than one-third of proposed emerging-market deals are ever completed. Surprisingly, companies’ satisfaction with those deals that are completed is only 68%.

The survey found that to increase the likelihood of success in doing emerging markets deals, companies need to adhere to the following five attributes:

1. Alignment of purpose, expectations, teams and stakeholders
2. Alliances between target companies, market influencers, local advisors and governments
3. Awareness of processes
4. Adaptability to changing circumstances and various cultural norms
5. Application of lessons learned

“Deal teams are often disappointed with the results of emerging-market transactions because they have failed to align their strategies with the tactics needed to close deals on the ground,” says Dave Read, Global Vice Chair of Transactions at Ernst & Young. “The key is to understand that transactions in emerging markets can potentially be hindered by cultural and political pitfalls, but that those pitfalls can be overcome.”

Click here to read the study in full. 466K

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