...At first Mahindra was a company dedicated to manufacturing general-purpose Utility vehicles that later turned into a conglomerate with interests in oil drilling, bearings, time-share results, and instrumentation along with jeeps and tractors. In 1991 the Harvard educated scion told M&M that they would not continue business with them if they didn’t have global potential, resulting in the businesses being regrouped into four strategic business units (SBUʼs) such as; automotive, farm equipment services, IT services and trade and financial services. The company anticipated an economic downturn in the tractor industry that resulted in M&M creating the Operation Blue Chip. The drive was launched in 2000 and later in 2001 the domestic market for tractors collapsed as expected, and M&M was the only tractor company in the Indian industry that made profits. India was the worlds second largest tractor manufacturer and in the 1990s the country was expanding to more competitive markets such as the United States. M&M capitalized quickly on this opportunity and set up an assembly plant in Tomball, Texas in 1994. Elsewhere, the Indian tractor industry categorized 13 players in the Indian tractor industry on the basis of power delivered by the engines horsepower that also included three multinational corporations; New Holland, John Deere, and SAME. Because of an emphasis by the federal government on increasing share of agricultural in the gross domestic product, the flow of farm credit had...
Words: 2066 - Pages: 9
...M&M’s Brand Case Study Update Prepared By: Alana Allred, Nate Matthewson, Arianna Mevs, April Seeley & Krystal Simpson 2008: History of the Organization Mars Snackfood U.S. proclaims Green the new color of love this Valentine’s Day. M&M’s used myths, rumors, and innuendo surrounding Green M&M’s Chocolate Candies. Ms. Green used her alluring ways to promote M&M’s Chocolate Candies as green interrupted the pink and red of traditional Valentine’s Day colors. After Valentine’s Day at the end of February 2008, M&M’s Brand introduced M&M’s Wildly Cherry Chocolate Candies marking the first time the brand used cherry fruit flavoring. M&M’s also released limited edition M&M’s Mint Crisp Chocolate Candies, in conjunction with the new movie Indiana Jones and the Kingdom of the Crystal Skull. 2008 also brought the announcement of personalized M&M’s Chocolate Candies. Consumers can now visit mymms.com and upload photos to be combined with custom messages creating personalized candies for birthdays, weddings and more. M&M’s Brand released Limited Edition Strawberried Peanut Butter Chocolate Candies to celebrate the release of Transformers: Revenge of the Fallen. M&M’s Brand releases Pretzel M&M’s. 2010: Orange Candy Spokesman becomes the new official M&M’s Pretzel Chocolate Candies Spokesman, featured in advertisements and on packaging with an x-ray image showing its pretzel center. 2009:  2012: Ms. Brown makes her debut during the Superbowl. Original Milk Chocolate...
Words: 5299 - Pages: 22
...JOHN M. CASE COMPANY Mergers and Acquisitions OCTOBER 6, 2015 FINA 5513D - MERGERS AND ACQUISITIONS Syed Ali Ahmad (100978220), Long Thanh Dinh (100986227) Zeeshan Halim (100986227) Table of Contents Executive Summary .................................................................................................................. 2 Why the J.M.C. Company is an Attractive Target for the Firm’s Management ............... 3 Why purchase the J. M. C. Company by LBO ...................................................................... 4 Target Selection ...................................................................................................................... 4 Industry ................................................................................................................................... 4 Improve Operational Performance .......................................................................................... 5 Management Competence ....................................................................................................... 5 Valuation of the LBO................................................................................................................ 6 LBO Financing Structure......................................................................................................... 7 Ownership Retention ................................................................................................................ 8 Expansion...
Words: 3693 - Pages: 15
...Hennes & Mauritz (H&M) was the second-largest specialty apparel retailer in the world. Sales for fiscal 2012 were $18.1 billion, up 11% from the previous year, and operating profits were $3.3 billion, up 8.3%. H&M operated 2,776 stores, 93% of them outside its home base of Sweden. Over the previous decade, revenues had grown 15% per year and operating profits, 18%. Although Gap, Inc. (Gap) began the millennium as the clear global leader in the apparel retail market with sales more than four times larger than those of H&M, H&M had grown quickly and passed Gap in 2009. However, Spain’s Inditex, with its fast-fashion chain, Zara, had done even better. It passed H&M in sales in 2005 and, by 2011, had also become more profitable. H&M had also lagged behind Inditex in supply pipeline speed, brand diversification, online retail presence, and expansion into China. Meanwhile, the world’s leading hypermarket chains, including Wal-Mart and Tesco, were making significant headway in apparel. In 2012, CEO Karl-Johan Persson, grandson of the company’s founder Erling Persson, promised increased expansion into underdeveloped markets, a stronger push to online retailing, and the launch of a major new retail brand. He noted, “We are looking forward to an exciting 2013 full of new opportunities. We have great respect for the macroeconomic climate and how it may affect consumption in many of our markets, but we believe strongly in our offering and are convinced that H&M will continue to...
Words: 8569 - Pages: 35
...Introduction Currently, Mergers and Acquisition strategy has been significant growth in term of amount and size of organization (Hitt, Harrison, and Ireland, 2001). Since 1980s, the total value of M&A is approximately 1.3 million million dollar and has a huge of increasing amount more than 11 million million dollar in 1990s. The important reason most of companies do merger and acquisition is to empower in market, more opportunities to access not enough/less own resource of company, more powerful in negotiate with supplier and customer, expand distribution channel, also reducing cost of production risk or new service that company has not enough capability to generate. Moreover, Mergers and Acquisition could limit ability of competitor and hurdle competitor to do business as well as reducing cost of operation because Mergers and acquisition make company expansion. As a result, it could possible to advantage in scale and scope (B.Elango 2006). For acquired companys, they would gain the advantage in term of financial condition because they usually gain capital meaning stronger in company financial. However, there are some considering factors about the problem of internal management after acquiring or merging such as organizational culture, the risk or failure with wrong set objective. These might be effected to operate business in the future. Mergers and Acquisition could be influenced in different groups both company and acquirer. Thus, it is necessary to consider...
Words: 7876 - Pages: 32
...Characterization of Hop Frog "Hop Frog," a short story by Edgar Allan Poe, takes place in the castle of a corpulent king who is very fond of practical jokes. Hop Frog, a jester, and his friend Trippetta are kidnapped and forced to be slaves for the king. The tyrant king oppresses Hop Frog, who is a crippled dwarf. When the king strikes Hop Frog's friend Trippetta with a goblet of wine, Hop Frog vows revenge on the king and his ministers (Poe 17), revealing his heroism and bravery. Thus, vengeance is justifiable when the victim, who in this case is the king, oppresses others for their disabilities, as shown through Hop Frog’s characterization. In the story, the king and the seven ministers treat Hop Frog far worse than Trippetta, fueling Hop-Frog’s contempt. Although both are dwarves, Trippetta is seen by the king and his ministers as graceful and exquisite. They do not...
Words: 1236 - Pages: 5
...Introduction Marks & Spencer Plc (from now on M&S) is an international retailer with 718 locations across 34 countries. The group sells clothing, footwear, gifts, home furnishings and foods under the St. Michael trademark in its chain of 294 stores in the United Kingdom. Approximately half of the group's overseas stores are franchised to local partners. The group also owns the clothing retailer Brooks Brothers and the Kings Super Markets chain in the United States of America. Direct mail helps M&S meet the core objective of providing customers with wider, easier access to their products such as home furnishings, flowers, hampers and wine. The financial services comprise of operations of the groups financial services companies providing account cards, personal loans, unit trust management, life assurance and pensions. Retailing accounted for 96% of fiscal 2000 revenues and financial services, 4%. The company was always considered to have a great management support that helped in its growth. But the last years, M&S’s managers seem to fail on their strategic decisions, leading the group to lower and lower sales and profits. The share price is also dropping and shareholders feel insecure for the future (figure 2). Group structure and financial performance The group’s performance measures for the year ended at 31 March were disappointing (figure-5). The return on equity ratio and the earnings per share were zero as the company had only £1.3m profit this year. For the...
Words: 2968 - Pages: 12
...Roche’s case analysis questions 1. Why is Roche seeking to acquire 44% of Genentech it does not own? From Roche’s point of view, what are the advantages of owing 100% of Genentech? What are the risks? Answer 1: The following are the advantages for Roche which will accrue by owning 100% of Genentech: * Genentech in the current form had become an important part of Roche’s business, accounting for 24% of Roche’s pharmaceutical product sales in 2008. Several of Genentech’s pioneering products had achieved very strong market positions due to their medical differentiation, commanding high prices. Products originating from Genentech represented 46% of total sales of Roche’s 20 top-selling drugs on a worldwide basis. For example, Avastin, which was the best selling Genentech drug accounted for 14% of Roche’s total pharmaceutical sales in 2008. * Biotechnology industry around that time was much smaller and less mature than the pharmaceutical industry, but was growing much faster rate. It generated $89.7 billion in revenues in USA along. Since Genentech along with Amgen were the dominant players in the sector, it could corner a major portion of this market. * Genentech was increasingly coming into direct competition with Roche in several U.S. markets. In developing small molecular products, Genentech had begun to encroach on Roche’s traditional territory, while Roche was preparing to launch products in the U.S. that would compete with existing Genentech products. A merger...
Words: 1638 - Pages: 7
...H&M Case Study Since 2000 Swedish retailer’s H&M growth rate is high. Its motto is to offer fashion and quality at the best price. Nowadays H&M’s growth target is to increase the number of stores by 10 – 15 percent per year, while increasing sales in comparable units. The growth will proceed with an emphasis on and continued high profitability. While entering the U.S. market in 2000, they face several problems. The primary problem of H&M is that it tries to expand around the world too fast without spending enough time to research and analyze the market it enters. In the United States they have chosen incorrect marketing mix strategy; consequently the company has low sales and low profits. Their lack of marketing mix strategy results in the following secondary problems: H&M has not taken into account the competition of inexpensive chains such as Express, Old Navy and Wet Seal. The U.S. customers are not aware of the higher quality of H&M products. So Swedish retailer is not able to compete with U.S. rivals effectively. Another problem H&M encounters in the U.S. market is its inefficient distribution network. Company has chosen too big outlets at poor locations in the suburbs, where they have a lot of direct competitors and few customers, who look for fashion and quality products. The company has suppliers in Europe and Asia, but not in America. It probably increases the turnaround period because of the long distance between suppliers and retailers...
Words: 619 - Pages: 3
...In this case, each missed opportunity to report a significant, separately identifiable evaluation and management (E/M) service means a loss of anywhere from tens to hundreds of deserved reimbursement dollars per case. Three key areas of concern for modifier 25, which deals with significant, separately identifiable E/M service by the same physician on the same day of a procedure or other service claims. Radiology practices that heed these critical requirements will improve compliance and reimbursement: E/M services billed using modifier 25 must be significant, separately identifiable, and above and beyond the usual preoperative and postoperative care associated with the procedure. Under CPT and Centers for Medicare & Medicaid Services (CMS) guidelines, all procedures and services that are from common diagnostic tests to the most complicated surgery include an inherent E/M...
Words: 499 - Pages: 2
...Summary The main purpose of this report is to identify the key business challenges for M&M’s, the confectionary brand of Mars Inc., and develop management solutions and specific recommendations on how effective leadership can meet these challenges in the company. The report proposes organisational change for the firm, which is fully driven by leadership and management strategies. It is identified that the key challenges for M&M’s are weak technological base, insufficient innovation in the sphere of product and package design, dependence on suppliers, conflict of interests in the management team, flat organisational structure, trade barriers, increased competition and insufficient CSR efforts. It is recommended that the organisational change should include the change of leadership style to more inspirational and transformational, achievement of more hierarchical organisational structure and implementation of the diversification marketing strategy. It is concluded that M&M’s should also cultivate innovativeness and creativity among its employees. Table of Contents 1. Introduction and Background 5 2. Environment Monitoring 6 3. External and Internal Analysis 7 4. Complexity of Environment 17 5. Business Challenges and Rationale for Leadership 17 6. Leadership and Improvement Options 19 7. Conclusion and Recommendation 25 References 27 List of Figures Figure 1: Cultural Web 12 Figure 2: Stakeholder Analysis 16 Figure 3: Hofstede’s Cultural Dimensions...
Words: 7804 - Pages: 32
...Case study on H&M Introduction In recent years, H&M has marked the retail clothing industry by the phenomenal pace at which it has expanded the number of its stores across a diverse range of countries and markets spanning Europe, the United States and recently Asia. H&M distinguishes itself from its competitors notably by offering clothes that are trendy, fashionable yet accessible in terms of price. So how does H&M manage to combine these seemingly divergent characteristics, especially in such a fast-moving and fiercely competitive industry as the retail clothing business? In the following report, I attempt to cast some light on some of the approaches that account for the success and reputation of the company and that have enabled it to remain competitive over the years and across markets in which it operates. I also seek to raise some of the drawbacks related to those approaches in terms of risk for the business. Practice of Market Orientation The practice of market driven marketing rests upon the core idea of generating and offering value to a particular target market better than competitors, which in turn will enable the company to grow and be successful.[1] Generally a market oriented strategy involves focusing on the buyer’s needs and determining the best means by which the consumer will be satisfied. As we will see in the next section, a market oriented strategy begins with identifying a particular target group within a segment and then focusing efforts in understanding...
Words: 3484 - Pages: 14
...Introduc.on • Introduce H&M and explain what type of business it is o In which market does it operate? o Describe who their typical customers are • History: o Name the founder o When did the business begin (year), and where? • In which countries/con@nents do H&M operate? • What is the annual turnover for H&M? • Using Porter’s ideas, explain which generic strategy H&M is following – explain your ideas using suppor@ng evidence Faculty of Higher Educa@on City College Plymouth in conjunc@on with the University of Plymouth 10 marks 2 Assignment 1 • What are corporate values? Give a defini@on then cite those for H&M • Describe some theore@cal concepts about organisa.onal culture • Analyse the case study to determine the culture you believe prevails in H&M. Give specific examples...
Words: 684 - Pages: 3
...1. ¿Es John Case una excelente oportunidad de inversión? Abordar el análisis de esta cuestión supone realizar un doble análisis: I. por una parte la rentabilidad de la sociedad hasta el momento de la toma de decisión y II. en segundo lugar, realizar unos estados financieros previsionales más un cuadro de financiación a fin de analizar el comportamiento futuro de la sociedad bajo los supuestos que se describen en el caso. Empecemos pues por el primero de los puntos: ¿Cuán rentable o buen negocio ha sido John M. Case Company si analizamos la empresa en marzo de 1985 (es decir, en el momento en que los cuatro directivos emprenden la decisión de compra)? Para ello, analizaremos los Estados financieros que nos aporta el caso. Con este análisis pretendemos conocer si la sociedad obtiene beneficios, cómo está compuesto el balance de la sociedad, y cómo evoluciona el cash flow de la misma, a fin de determinar si hay problemas económicos y/o financieros (operativos u estructurales). CUENTA DE RESULTADOS HASTA 31-12-1984 |Cuenta de Resultados de John M. Case Company | |en miles de dólares | | | | | | |ACTIVO |1984 | | | ...
Words: 814 - Pages: 4
...Case Analysis - Owens and Minor, Inc. 1.1) What are the services rendered by the distributor to manufacturers and hospitals? Owens and Minor Inc. is a dominant distribution company that distributes medical and surgical supplies to hospitals, integrated health care systems and group purchasing organizations. It takes on the financial risk of owning and managing inventory for customers. It tracks and verifies their customer’s prices. In addition, O&M supplies customer usage and sales numbers, market trends, buying patterns and product penetration to manufacturers. 1.2) How has the nature of distribution changed over time? In the mid1980s hospitals joined together to gain more control of supply costs. They began carrying less inventories and demand more services from distributors without paying more, which led to the consolidations of distributors as well. Customers wanted the distributors to package the products in smaller units and shipped them directly to nursing and surgical units. They also placed smaller orders more frequently. This new trend shifted some of inventory related costs to distributors. Companies like O&M had a hard time find a way to price these new complex services for each individual account. They underpriced services and some customers such as those with stockless system were unprofitable for the companies. 1.3) How is O&M different from other distributors? O&M decided to focus solely on distributing medical and surgical supplies while many...
Words: 1464 - Pages: 6
