Mergers/Takeovers Flashcards
1
Q
What are some tactical reasons for a takeover?
A
- Ensure an increase in market share
- Access to technology
- Access to staff
- Access to intellectual property
2
Q
What are some strategic reasons for a takeover?
A
- Access to new markets
- Improved distribution networks
- Improved brand
3
Q
What are some advantages of mergers?
A
- Economies of scale
- Increased revenue and market share
- Cross selling products
- Diversification
- Acquiring unique capabilities and resources
- International expansion
- Access to trading blocs
- Easy expansion
- Can increase profitability and sales
- Rapid growth into expanding markets
4
Q
What are some merger examples?
A
- Google>Youtube $880m
- Adidas>Reebok
- Kraft=Heinz
- Dixons=Carphone
