Many thanks Daniel!

Read the full paper here: [https://direct.mit.edu/rest/article-abstract/doi/10.1162/rest.a.255/131619/Multiproduct-Firms-Horizontal-Mergers-and?redirectedFrom=fulltext]

7/ Bottom line: mergers between large multiproduct firms don’t just shift market shares—they reshape product portfolios, sharpen focus on core strengths, and boost international competitiveness. These within-firm reallocations matter for trade, consumer choice, and competition policy.

6/ To explain this, we build a model of mergers between oligopolistic multiproduct firms. It shows how mergers trigger within-firm reallocations that improve efficiency and expand international reach.

5/ We find: the combined domestic product range falls, sales become more concentrated on the core product, but the acquirer expands abroad—exporting more products to more, often distant, markets.

4/ Using Danish data on 4,500+ domestic mergers (1996–2015), we track every variety before and after the merger—both in the home market and in exports.

3/ Acquirers and targets in these mergers are usually multiproduct firms selling the same core product. After the deal, something striking happens: domestic product scope shrinks, and sales shift towards that shared core.

2/ Our question: How do horizontal mergers between multiproduct firms reshape their product mix at home and abroad, and what does this mean for export performance?