Thursday, June 20, 2019
Merger or Acquisition Case Study (Report) Essay
Merger or Acquisition Case Study (Report) - Essay ExampleOn the otherwise hand, if the organization feels it is not execute up to the expected levels, and needs some pep up from external forces, then also they pot merge with or acquire companionship, which is also glide in the same boat and thus facing the same issues. Thus, M&A can be both a successful strategy and at the same time survival strategy, aiding the organizations in the short as well as in the long run. Immediately it can fulfill the short line targets, and in the long run, probably after five years, it can satisfy each entities long term goals. So, this paper focusing on the merger of AT&T and BellS come forwardh will first discuss the stated aims of that deal and the extent to which these aims have been fulfilled or being fulfilled. AT&T Inc is USAs largest fixed telephony as well as mobile telephony provider. AT&T has reached its present status, after going through a serial of break-ups and mergers. The origina l AT&T was divided in 1983 as a result of the United States vs. AT&T antitrust suit, and Southwestern Bell bay window (SBC) came into existence as the newer version of AT&T. Then in 1995, SBC changed its name to SBC Communications Inc. Then, finally in 2005, SBC Communications Inc. became AT&T Inc. ... One of the main aims of this acquisition by AT&T is to create a super-sized AT&T, with largest customer base. In case of mergers and acquisitions, in particular acquisitions, the aim of the acquiring company is to further expand its size, operations, reach, etc, by absorbing all the resources of the acquired company. Likewise, in the case of AT&T, it is already a major corporation, while BellSouth was a middle player. Thus, AT&T wanted to further accentuate its size, reach and importantly customer numbers, and this acquisition of BellSouth provided the needed leverage and the numbers. The other associated aim of the acquisition is to control to a greater extent than half of the tele phone as well as internet broadband lines in USA. This way, it also wanted or aimed to beat their competitors. Competition is part of each business, and only if the concerned organization comes up with effective and sometimes out of the box strategy, it can beat off the competition. Thus, this way AT&T can beat of its competitors like Verizon, Comcast, etc. With Verizon close on its heels, AT&T wanted to accumulate a customer base, which will be ahead of Verizon and other competitors. So, its aim to garner half of the total telephone and internet lines also pushed it to acquire BellSouth. Apart from these AT&T centric aims, the acquisition was also carried out with another aim of propping up Cingular Wireless, the mobile telephony wing. Even before the acquisition, both AT&T and BellSouth only managed Cingulars operations, but without an single administrative setup. So, both AT&T and BellSouth through the acquisition process aimed to create a more efficient Cingular Wireless. First ly, the merger
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.