Week_7_-_Acquisitions[1]

Week_7_-_Acquisitions[1] - BUS 690 BUS 690 5 6 M&A...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
1 5 5 BUS 690 Desa Where we are… Business-Level Strategy Corporate-Level Strategy Introduction to Strategy External Environment Internal Environment Competitive Positioning Competitive Dynamics (Rivalry) Innovation & Entrepreneurship Diversification Mergers & Acquisitions Alliances International Strategy Corporate Governance 6 6 BUS 690 Desa M&A Drivers • Stimulated by major forces of turbulence – Deregulation • banking, telecommunications – Technological change • software, pharmaceuticals, computing, telecomm. – Globalization • natural resource industries such as copper, aluminum, oil 7 7 BUS 690 Desa Corporate strategy and M&A’s Corporate strategy action taken to gain competitive advantage through the selection and management of a mix of businesses competing in several industries or product markets. What businesses should we be in? How should these businesses be managed? 8 8 BUS 690 Desa Definitions - What are the Differences? Merger – A strategy through which two firms agree to integrate their operations on a relatively co-equal basis Acquisition – A strategy through which one firm buys a controlling, or 100% interest in another firm with the intent of making the acquired firm a subsidiary business within its portfolio Takeover – A special type of acquisition when the target firm did not solicit the acquiring firm’s bid for outright ownership 9 9 BUS 690 Desa Corporate strategy and M&A’s M&A’s are: – dominant means of diversification – major strategic action (vs. tactical) – significant and unique capital budgeting decision
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 3

Week_7_-_Acquisitions[1] - BUS 690 BUS 690 5 6 M&A...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online