Merger, Acquisition, and International Strategies Essay

* For the conjunction that has acquired another comp any(prenominal), merged with another company, or been acquired by another company, evaluate the dodging that led to the merger or erudition to determine whether or not this merger or acquisition was a wise choice. Justify your opinion. coca- dumbbell lodge history originated in 1886 when the curiosity of an capital of Georgia pharmacist, Dr. John S. Pemberton, led him to create a distinctive tasting flossy drink that could be sold at soda fountains (Coca dope History, 2013, check bit. 1). He generated flavored syrup, took it to his neighborhood pharmacy, where it was mixed with carbonated water and deemed excellent by those who sampled it (Coca Cola History, 2013, para. 1). Dr. Pembertons partner and bookkeeper, Frank M. Robinson, is credited with naming the beverage CocaCola as well as designing the trademarked, distinct script, still used straight off (Coca Cola History, 2013, para. 1).The Coca-Cola confederation is no t just an amount beverage company. The Company owns/licenses and foodstuffs in excess of 500 nonalcoholic beverage products, mostly effervescent beverages but also a as variantment of still beverages, for instance amnionic fluid, boosted waters (for example, Oasis, Powerade and Vitamin Water), juices and juice drinks (for example, Minute Maid and Five Alive), ready-to-drink teas and coffees, and energy and sports drinks (Coca Cola History, 2013, para. 5). Coca Cola most popular nonalcoholic sparkling beverage brands be Coca-Cola, Diet Coke, Sprite, Fanta, Dr. Pepper and Schweppes which they market worldwide. Coca Cola Company has a market capitalization of $177.48 billion and is the largest company in the victuals and drink sector (Coca Cola Company, 2013, para.1). Whether youre out shopping, working in the mathematical function or the gym, ZICO Pure Premium Coconut Water delivers the natural switch you require to re virgin. As of November, 2013 Coca-Cola Company and ZICO Bev erages LLC announced that Coca Cola has acquired the prominent ownership game in ZICO (Coca Cola Acquires, 2013, para. 1).The merger will unlock more capability for ZICO including marketing, selling,manufacturing, innovation and distribution opportunities (Coca Cola Acquires, 2013, para. 1). Not besides will this merger benefit ZICO, but the Coca Cola Company will gain a top position in adept of the fastest rising beverage categories in the world. This final move concludes the race that began in 2009 when Coca-Colas Venturing and Emerging Brands (VEB) business unit first invested in ZICO. In 2012, the Coca Cola Company acquired a bulk stake in the brand. And earlier this year, ZICO took its home on the unique red Coca-Cola trucks to be circulated without the U.S. and Canada. When Coca Cola initially invested in ZICO, they did so because they saw it as a burgeoning premium brand with the potential to be substantive leader in a mettlesome growth category (Coca Cola Acquires, 2013, para. 4). Over the past 4 year, Coca Cola has observed the coco tree water industry spear revenue impressively and gain mob penetration.ZICO itself solidified its place as ace of the radical brands in the coconut water industry. With this acquisition, Coca Cola plans to modernize all characteristics of the consumer experience and change twain rate and delivery to place ZICO at the top and come up even more growth within the company. * For the corporation that has not been obscure in any mergers or acquisitions, identify one (1) company that would be a net profit satisfactory roll in the haydidate for the corporation to acquire or merger with and explain why this company would be a profitable tar make it. food product shopping is more difficult and complex than ever before. Todays customers are more health mindful than customers of the past. Customers are more given over to buy enduringness foods over the old-style foods their parents bought. Customers across the c ountry guard door to everything from bizarre products to exclusive delivery services. Specialty grocery stores break with child(p) in attractiveness to customers, but the main issue is that often metier stores waste restricted locations which in turn limits their reach to customers.Whole forages Market and monger Joes are two specialty grocery stores who hand increased locations to the hundreds while adhering to an unforeseen market standing(a) for formerly untargeted market segment. bargainer Joes operates over 340 stores in 9 states were they buy direct from suppliers whenever possible, bargain hard to get the best prices and thusly pass the savings on to the customer ( trader Joes, 2013, para. 4). Whole Foods Market is the worlds leader in natural and essential foods, with more than 360 stores in North America and the UnitedKingdom (Whole Food, 2013, para 2). Trader Joes and Whole Foods Market grant managed to take original ideas and spread them throughout the nation to many various customers. Although they differ not only in the technique in which they square up to bring products to their customers but also in term of inventory steering and supply chain organization. These two companies have become so sure-fire in my opinion, not by what they differ in but what they have most in common, which is their commitment to their loyal customers, employees and undeniable quality in their products they sell.Through their loyalty to their customers and employees in addition to their irreplaceable assess proportion, both companies have effectively succeeded to upturn the grocery industry and have forced noncurrent grocery stores and its customers to reexamine their descriptions of what institutes a positive customer experience. The merger of Trader Joes and Whole Foods Market would be profitable to both companies since Whole Foods Market is now international, they locoweed allow Trader Joes access to an international market. Whereas Trader Joes of fers unbelievable quality, but has a poor assortment of products, Whole Foods Market will servicing offer both a spacious assortment as well as excellence of products. * For the corporation that operates internationally, briefly evaluate its international business-level system and international corporate-level dodge and quarter recommendations for improvement. Most customers have high hopes when buying a good or a service. As a general rule, it seems that most customers want to acquit a low price for products with rather highly distinguished features.Because of these customers expectations, a number of firms, like Coca Cola, actively engage in primary value chain activities and support functions that allow a firm to at the same time purse low cost and speciality (Hitt, 2013, pg. 120), which is also called integrated cost leadership/differentiation strategy. The reason Coca Cola uses this strategy is to expeditiously create their products with some differentiated features. Ef ficient production is the source of offer low costs whole differentiation is the source of creating unique value (Hitt, 2013, pg. 120). Coca Cola has successfully integrated cost leadership/differentiation strategy which has allowed them to adapt quickly to todays new technologies and to the fast changes in todays society/cultures around the globe. The ultimate goals of Coca-Colas business strategy is to rise volume, develop their share of world-widenon-alcoholic ready-to-drink beverage sales, maximise the long-term cash flows and create economic-value-added by improving economic profit (Coca Cola Acquires, 2013, para 8). Corporate-level strategy specifies actions a firm takes to gain a competitive advantage by selecting and managing a group of different businesses competing in different product markets (Hitt, 2013, pg. 164).Coca Cola Company has long been act to the product development strategy in which case they do everything they can to become the best in their industry. They have moved into different geographical market such a Japan, United Kingdom, ect., Coca Cola have acquired competitors such as ZICO as discussed above, and also they have bought bottle suppliers to help grow the company even more. With all of these moves that Coca Cola have made over the years, this has allowed them to penetrate existing markets with new products due to their high brand awareness. You cant go hardly anywhere these days without seeing a Coca Cola product of some sort being advertised or sold.This strategy capitalizes Coca Colas favorable trademark reputation, Open Happiness. Coca Cola has developed great business and corporate level strategies but there is always room for improvement. We are living in a social media world and I would suggest that Coca Cola take full advantage of this new world of communicating with their customers. So many people communicate through social media and find new products through social media that developed a marketing strategy evolvin g social media will ultimately be a win-win strategy for any company. * For the corporation that does not operate internationally, propose one business-level strategy and one corporate-level strategy and make recommendations for improvement.A differential strategy is an integrated set of actions taken to produce goods or services (at a acceptable cost) that customers perceive as being different in a way that is important to them (Hitt, 2013, pg. 115). I would suggest this differential strategy to Trader Joes because they currently are offering unique quality, private labels and majuscule pricing that other traditional grocery stores are not offer. To have success with the differentiation strategy, Trade Joes must consistently pass on differentiated features that their customers value and/or create new valuable features with any significant cost increases to the customers. Todo so, Trade Joes needs to evermore update and change their product lines. This means that the products tha t are not saleing get rid of them quickly.Look into the new developed and increasing fades that customers are flavor into. And because differentiated products satisfies customers unique needs, Trader Joes will be able to charge premium prices which allows them to out price their competitors and earn above average returns. A multidomestic strategy is an international strategy in which the strategic and operate decisions are decentralized to the strategic business unit in individualist countries and regions for the purpose of allowing each unit the opportunity to tailor products to the local market (Hitt, 2013, pg. 235).I recommend a multidomestic international corporate level strategy for Trader Joes because this strategy is used with companies that have high local responsiveness but have low global integration. This strategy should maximize Trader Joes competitive response to the idiosyncratic requirements of each market it is in. The multidomestic strategy is most appropriate fo r use when the differences between the markets a company serves and the customers in them are significant (Hitt, 2013, pg. 235).ReferenceCoca Cola History. Retrieved November 29, 2013, fromhttp//www.worldofcoca-cola.com/coca-cola-facts/coca-cola-history/ Coca-Cola acquires ZICO, Retrieved November 29, 2013, fromhttp//m.newhope360.com/mergers-amp-acquisitions/coca-cola-acquires-zico Hitt, M.A., Ireland R., D., & Hoskisson, R.E. (2013). Strategic management Concepts and cases Competiveness and globalization (10th ed.). Mason, OH South-Western Cengage Learning. Trader Joes Our Story, Retrieved November 29, 2013, from http//www.traderjoes.com/about/our-story.aspWhole Foods Market, Company Info, Retrieved November 29, 2013, from http//www.wholefoodsmarket.com/company-info