Drivers of Post-Acquisition Business Model Innovation : The Interplay of Shared Mental Models, Organizational Agility, and Integration Speed

Shepherd, Neil (2026) Drivers of Post-Acquisition Business Model Innovation : The Interplay of Shared Mental Models, Organizational Agility, and Integration Speed. In: European Academy of Management Conference 2026, 2026-06-16 - 2026-06-19. (In Press)

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Abstract

Mergers and acquisitions (M&A) are a vital tool for strategic renewal, yet achieving successful business model innovation (BMI) post-acquisition remains a significant challenge. This study addresses the under-researched role of informal coordination by investigating how shared mental models (SMMs)—the cognitive alignment between acquirer and target firm employees—act as a critical antecedent to BMI. We develop a conceptual model proposing that the influence of SMMs is mediated by organizational agility. SMMs provide the microfoundations for a firm’s ability to respond quickly to change, which in turn drives the strategic renewal process of BMI. Furthermore, we theorize that these relationships are moderated by integration speed. The positive effect of SMMs on BMI is amplified under a slower integration pace, which allows for the deliberate learning and trust-building essential for complex innovation. Our study contributes a novel theoretical framework explaining how cognitive, capability-based, and temporal factors drive post-acquisition innovation.