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Microsoft & Sendit

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Submitted By kyo7850
Words 1428
Pages 6
1. Which integration approach should Microsoft use to integrate Sendit: Absorption,
Symbiosis or Preservation? (use Haspeslagh and Jemison's reading from last session)

Conclusion : As we reviewed aspects which this acquisition had, we concluded that MS should choose Symbiosis approach rather than Absorption. It is based on analysis of the purpose of acquisition, the level of strategic interdependence need and the level of organizational autonomy need.

1) Analysis 1. Through the view point of purpose of Acquisition :
We analyzed the purpose of this acquisition as “Domain Extension”. Since the main reasons why MS attempted this acquisition were extension of product line which MS had been criticized that too much PC oriented and geographical market extension which MS could not penetrate successfully such as European customers. The acquisition type of domain extension usually could have characteristics of both “Simbiotic” and “Absoption”. 2) Analysis 2. Strategic interdependence Need and Autonomy need :
To confirm the type of this acquisition as a Simbiotic, we initially analyzed detail of the required interdependence level through two major key capabilities which MS wanted to transfer.
Firstly, we found this acquisition targeted “Resource sharing”. MS wanted to get Sendit’s Customer base. Secondly, MS also hoped to be able to transfer Sendit’s “Functional skills” which had been implemented to several R&D researchers or group of R&D people.
Both strategic capabilities needed high interdependence level for several reasons. For current Sendit’s customer base, MS could make them as supporters to lead standard battle of protocol. And MS also could use the customer base as a marketing channel. Therefore strong interdependence seems inevitable. For Sendit’s technology as a functional skills, it is also required certain level of interdependence

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