Assignment #4
Me’Shaw A. Taylor
HwangJi Lu
BUS499
8/24/12

For the corporation that has acquired another company, merged with another company, or been acquired by another company, evaluate the strategy that led to the merger or acquisition to determine whether or not this merger or acquisition was a wise choice. Justify your opinion.

The merger I choose to research was the acquisition of Pixar by Disney. The merger between Disney and Pixar was a very successful one. They worked together in the past and their contract was running out after the release of Cars. This was the perfect opportunity and sensible move for these two companies to merge. The merger would allow the companies to work together conveniently. This merger was very rewarding allowing the company to put out very successful movies such as WALL-E, Up, and Bolt. They both have high expectations including plans for twice-yearly films. This was not possible before the merger. Disney has been able to give Pixar a boost in the field of advertising, marketing plugs, and merchandising. Disney is the best in the business when it comes to marketing to children. Disney spent $ 7.4 billion to acquire Pixar from Apple’s head Steve Jobs (Monica, 2006). The strategy behind this merger is to continue creating innovative stories, characters, and films that pleases viewers worldwide (Monica, 2006). The acquisition improved Disney’s animation which helps stimulates its growth throughout its businesses. This was a very smart strategic deal that will benefit its theme parks, consumer products, and cable. Disney also obtained ownership of the world’s most famous computer animation studio and its resources. They also have a more personal relationship with Apple’s technology because of Steve Jobs owning Pixar.

For the corporation that has not been involved in any mergers or acquisitions, identify one (1) company