I need some help on these questions.
Discuss the major cause of acquisition failure? Discuss at least one of the three foremost approaches to valuation. Discuss the strengths and weaknesses? Should one approach be used in favor over another?
(at least 200 words)
One of the major causes of failure of an acquisition is the lack of compatibility between parent organization and acquired entity in terms of corporate culture, goals and objectives. After the acquisition, lack of synergy in terms of working together in an efficient and effective manner by developing shared corporate culture, goals and objectives leads to conflict and can lead to failure of the whole M&A process.
Many a times, acquisitions fail because the objectives or rationale for which such acquisition has been carried out is not achieved, such as synergies in terms of cost reduction or synergies in terms of ...
Discuss the major cause of acquisition failure?
Compare and Contrast Mergers and Acquisitions Failures
Compare and contrast M&A failures.
A. Discuss the reasons why an M&A fails (technical and legal insolvency, and bankruptcy).
B. Once the failure of an M&A occurs, what happens to the assets of both companies? Be sure to consider what happens to the stakeholders, image of the company, price per share, market share, company assets, position in the industry, goodwill, and service capability within the industry.
C. Be sure to compare and contrast the two to three forms of corporate restructuring. Would you recommend any of the following? Be sure to defend your position:
Please cite your references properly if you happen to use any. Thanks.View Full Posting Details