Mergers and acquisitions are new and quite confusing to me. I have to write a 450 word essay which I discuss any relevant governance or ethical issues that the M&A activity of Hewlett Packard/Compaq faced during its formative term? Also, I must discuss the specifics and how this issue was handled? Please be sure to cite references.© BrainMass Inc. brainmass.com March 4, 2021, 9:26 pm ad1c9bdddf
Businesses seem to only have one goal, to become as large as possible and at the same time maximizing shareholder wealth. The fastest and sometimes cheapest way to accomplish this is through mergers or the acquisition of an existing company in the same field. This is the fastest way to accomplish this goal but it is not the only reason why companies choose these options. Mergers and acquisitions also occur to eliminate or reduce competition, efficiency, marketing, additional resources and expanding a companies product list. The acquiring company selects appropriate strategies to reduce risk through these avenues. Hewlett Packard/Compaq merger used various strategies to make their goal a reality and this merger of proportionate size became real. Ethical issues such as stockholder persuasion and shareholder treatment were among many of the issues the company had to deal ...
This solution of 527 words describes the how mergers and acquisitions play an important role in businesses. It talks about governance and ethical concerning the Hewlett Packard Company's merger. All references used are included.