The Concept of Acquisitions Mergers and Strategic Alliances

Topic

The Concept of Acquisitions Mergers and Strategic Alliances

Instructions

Read the case study below and answer the questions (also can be found at end of case study):
1. On the basis of the evidence available to you above and online, how well would you say the Stobart Group is at meeting the expectations of (500 words, 4 references):
a. Its owners and investors
b. Customers
c. Employees
d. Other interest groups.
2. How satisfactory is the statement given above of Stobart Group’s purpose or mission? What is the future vision of its management team? (500 words, 4 references)
Words: 1000
References: 8 references (Harvard).

Answer preview

Modern business environment has companies engage in active ways to seek profitability hence they can decide to involve in merges or acquisitions. However, there are stark differences about the two concepts. There is a difference on how they are formed; mergers are established when two operating companies decide to transact as a single unit hence the transfer of ownership involves stock swap or cash payment between the two companies (Cartright and Cooper, 2012). In this context, the companies abandon their respective stocks and acquire new ones as a single company. The main reason for merging it to create a steady strength in financial base of both companies.

Word count: 2615