IBM cited obstacles in closing transactions; analysts also point to the impact of expensing employee stock options.
The firm, which manages closing transactions in M&A services, looked at more than 100 deals closed between 2007 and 2010.
"After a strong start, we had difficulty closing transactions in the final weeks of the quarter, especially in countries with soft economic conditions, as well as with short-term Global Services signings.
International Business Machines, the world's top provider of computer hardware, said Thursday that first-quarter earnings edged up 3% year-over-year, missing Wall Street expectations as the company reported difficulty in closing transactions.
"After a strong start, we had difficulty closing transactions in the final weeks of the quarter, especially in countries with soft economic conditions, as well as with short-term Global Services signings," the company said in a release.
In addition to the challenge of getting a term sheet signed, new barriers have emerged that make closing transactions harder than ever.
But he said that, for the most part, "the Internet will not close transactions; people will close transactions over the Internet".
In the early 1980s the company closed transactions that were considered innovative in their use of the sale-leaseback model.
The survey examined a total of 7,787 closed transactions, based primarily on public records and reports from managing agents.
Records of recently closed transactions like Mr. Bessent's show that average and median sale prices were nearly flat in October, compared with the previous month.
