...Proposed Merger Between Staples and Office Depot Leads to Concerns of Higher Prices Michael Baye and Patrick Scholten prepared this case to serve as the basis for classroom discussion rather than to represent economic or legal fact. The case is a condensed and slightly modified version of the public copy of the FTC's motion for a temporary restraining order and preliminary injunction against the proposed merger between Staples and Office Depot dated April 10, 1997. No 1:97CV00701. OFFICE SUPPLY SUPERSTORE MARKET Staples and Office Depot pioneered the office superstore concept within months of each other in 1986. Over the next ten years, they and a number of other firms seized on the same strategy of providing a convenient, reliable and economical source of office supplies for small businesses and individuals with home offices. These firms competed aggressively, developing office superstores as a one-step destination, carrying a full line of consumable office supply items as well as assorted other products. Staples and Office Depot have been immensely successful: today, Staples has almost 500 stores and Office Depot has more than 500 stores nationwide; they compete head-to-head in 42 metropolitan areas across the country. On September 4, 1996, Staples and Office Depot entered into an agreement whereby Staples would acquire the stock and assets of Office Depot for $4 billion. The merged company would have combined annual sales that exceed $10 billion. Absent the merger, both...
Words: 7162 - Pages: 29
...Key nonmarket issues - Whether to allow Staples and Office Depot to merge on the basis of antitrust concerns. Interests - The three office supply superstores, Consumers, Competitors like other Superstores (e.g. Walmart, etc.), Manufactures, Suppliers, Labor organizations. Institutions - Courts, FTC, DOJ, Congress. Information - Asymmetric (FTC has done a lot of research and know quiet a lot to support the antitrust case but Staples and Office depot will know more about the relevant product market, Pricing etc.), Incomplete (e.g. Whether it was possible to pass through the improvements in efficiencies to the consumers and if yes how much), Contested (Whether the definition of the relevant product market was right, etc.). Nonmarket issue lifecycle analysis - The issue was in the legislative stage. FTC had contested the merger of Staples and Office Depot on the basis of antitrust concerns and now the courts have issued a preliminary injunction. But instead of continuing with the trial the companies have decided to terminate the merger. Hence it can be said that issue is in the enforcement stage of the issue life cycle. Brief answers to the end of case questions - 1) What was the key finding by the court that effectively decided the case for a preliminary injunction? While making a decision the court required the FTC to show that its challenge was likely to succeed and in balancing the equities it was of greater harm to let the transaction proceed than to reverse it later...
Words: 1538 - Pages: 7
...employs 89,000 employees worldwide. Staples sells office supplies at more than 2,000 stores as well as through its catalog and call centers, the internet site, and contract sales force. In additional to typical office supplies, stores offer computer hardware and software, furniture, art and school supplies and printing and copy services ( Staples 10k, 2012). The company has 3 operating division: North American Delivery, North America Retail and International. The retail stores in Australia, Brazil, China, Denmark, France, Germany, India, Norway, Portugal, United Kingdom and the United States are operate under its original name “Staples”. Argentina operates as Officenet-Staples, Belgium and Netherlands as Office Center, Canada as Staples Canada and in Italy as Mondoffice. The company recorded revenues of $25.1 billion during 2012, an increase of 1.9% compared with 2011. 39% of revenues generated from North American Retail, 40% from North American Delivery and 21% from International operation. (managementparadise.com, Staples 10K, 2012). II. STRATEGIC DIRECTION A. Mission “Our mission is to bring easy to offices worldwide” (Staples Soul, 2012). B. GOALS/OBJECTIVES • Maintain our leadership position by delivering on our brand promise • Focus on customer service, customer acquisition and retention, and providing our customers a broad assortment of core office products and services. • Focuses on expanding categories beyond core office supplies, including facilities and breakroom supplies...
Words: 4733 - Pages: 19
...Competencies are useful in having a guideline or compass to actively and effectively reach success. Office Depot has developed competencies to increase and maintain employee motivation. As stated previously, employee motivation as a direct impact on employee performance and their productivity. Competency 1: Job Performance (Diversity) Office Depot possesses a fundamental and positive responsibility to ensuring workplace diversity. “Globalization is fast changing the demographic mix of workforce in organizations across countries. Therefore the concept of diversity and its management become imperative. Diversity management (DM) is planning and implementing organizational systems and practices to manage people so that the potential advantages of diversity are maximized while its potential disadvantages are minimized” (Preeti, 2016). Diversity promotes employee motivation as it shows employees that Office Depot is committed to the progression and successful of their staff. According to Office Depot, “At Office Depot, we are committed to creating an inclusive environment where all people are valued and respected. Diversity is an important dimension of Inclusion, Innovation, and Customer Focus -- three of our core values -- and keys to our success in a global marketplace.” (Office Depot, 2016) When organizations promote diversity in the workplace, productivity and positive attitudes increases as it allows for different prospective and boost morale within employees. Competency...
Words: 470 - Pages: 2
...being relayed (2011). From the production process to the delivery and sale of the products, communication is a key instrument that will eventually cause a retail business to become profitable. In today’s society, there are many retail businesses that exist and offer a variety of products and services for a consumer to select from. Some retail businesses sell food, home improvement items, patio furniture, clothes, sporting goods, and other commodities. Kroger’s, Publix, Lowe’s, Ace Hardware, and Wal-mart are leading retailers that offer various products and services and they are located throughout the United States and in other countries. The Home Depot is a global retail business that specializes in home improvement merchandise and have stores located throughout the Unites States and other countries (Corporate). The Home Depot is the world's largest home improvement specialty retailer with stores in all 50...
Words: 2024 - Pages: 9
...Case study: Warbings Office Systems Plc Background Warbings Office Systems is small but rapidly growing company, focusing on delivering and supplying office based products to a target market of small businesses in the U.K. and, increasingly, Europe. As the trend for homeworking continues much of their new business is in supplying office materials to individuals working from home. Currently offering some 18,000 different product lines in store and 39,000 via catalogue ordering, it intends to double its product turnover in the next three years by increasing its web-based ordering capabilities. With the marketing strapline ‘you need it we’ve got it’, Warbings aims to make office supply shopping as easy as possible for customers. Priding itself on being a ‘thoroughly modern company with old traditions,’ Warbings has used technology to evolve into a customer-focused business, striving to give each customer a ‘personal service second to none,’ with a variety of different, but easily accessible, ways of ordering and receiving products tailored to their individual needs. The more cynical of their staff occasionally reflect that the customers even dictate the lavatory breaks and bedtimes of the Warbings’ employees. Graffiti on one of the depot walls, that intriguingly reappears every time it is removed, says ‘you need it we bleed it’ and occasionally ‘Wosp stings’. The Warbings CEO is passionate about delivery and customer care and he is convinced that the way in which...
Words: 2640 - Pages: 11
...Case study: Warbings Office Systems Plc Background Warbings Office Systems is small but rapidly growing company, focusing on delivering and supplying office based products to a target market of small businesses in the U.K. and, increasingly, Europe. As the trend for homeworking continues much of their new business is in supplying office materials to individuals working from home. Currently offering some 18,000 different product lines in store and 39,000 via catalogue ordering, it intends to double its product turnover in the next three years by increasing its web-based ordering capabilities. With the marketing strapline ‘you need it we’ve got it’, Warbings aims to make office supply shopping as easy as possible for customers. Priding itself on being a ‘thoroughly modern company with old traditions,’ Warbings has used technology to evolve into a customer-focused business, striving to give each customer a ‘personal service second to none,’ with a variety of different, but easily accessible, ways of ordering and receiving products tailored to their individual needs. The more cynical of their staff occasionally reflect that the customers even dictate the lavatory breaks and bedtimes of the Warbings’ employees. Graffiti on one of the depot walls, that intriguingly reappears every time it is removed, says ‘you need it we bleed it’ and occasionally ‘Wosp stings’. The Warbings CEO is passionate about delivery and customer care and he is convinced that the way in which...
Words: 2614 - Pages: 11
...and reactively. Together these two tasks have the potential to create greatness. The same concept applies to organizations in the world of business. Today’s workplace demands employees to be skilled in performing complicated tasks in a safe, efficient, cost effective manner. “This involves strategic planning which is a process used to determine how best to pursue the organization’s mission while meeting the demands of the environment in the near (e.g., next year or two) and long term (e.g., next five to ten years)” (Blanchard, 2013, p. 27). This paper will discuss the professional development plan for Home Depot to include; strategic planning, learning objectives, delivery methods, measurements/evaluations, timeframes, and expected results. Strategic Planning Completed in Wk 3 Learning Objectives The varieties of training courses that are offered at The Home Depot are numerous. There should be a clear objective that should be established before choosing which training course would be necessary and which training course would occur first. Learning objectives relate to which behaviors are needed to take place after each training for the employees to respond to the course correctly. The objective should give an explanation of when such behavior should occur and which part of the criteria is used to determine if the learning that took place was sufficient or not (Blanchard & Thacker, 2007). The Home...
Words: 929 - Pages: 4
...possibly take losses in corporate offices as well. However, some big retail companies, like Home Depot, Best Buy, and Bain & Company were able to turn some of these downturns into positives and give more to their employees and continue to grow their companies. The behavior and attitude of management can drastically affect a company’s outcome during a recession, so being proactive and seeking out the positive is always the most effective during times of need. According to Shalom Schwartz, who created the theory of personal values in the workplace, there are values managers hold that can influence behavior unknowingly at work (Kreitner and Kinicki, 152). Amongst the ten values, Bain & Company, Home Depot, and Best Buy all hold on to universalism. Universalism, the “understanding, appreciation, tolerance and protection of the welfare of all people and of nature” in the workplace creates a positive work environment for everyone involved (153). Bain & Company’s CEO Steve Ellis took the proactive approach during the recession and added even more employees to his team. “This is an opportunity to grab very talented people,” Ellis stated, when talking about how many former consultants became stranded during the recession (176). He is giving them the opportunity to come back to work even though they left for whatever purpose, showing his understanding and appreciation for those that have once worked for him even amongst their decisions to leave. Home Depot used universalism in a different...
Words: 2121 - Pages: 9
...Preparing to Conduct Business Research: Part 3 Introduction In further discussions of the merger with Staples and Office Depot, we need to look at with is going to be the primary research design, either qualitative or quantitative. We are also going to look at the power of both the qualitative or quantitative designs and how they can coexist together. Lastly, we are going to look at what are the drawbacks of using just one method over the other. In researching all business problems, we want to ensure our research design can properly accommodate the needs of the merger. It will be our suggestion that a mixed design of both qualitative and quantitative research be considered when making the final decision of what is the best research design moving forward. Which design (qualitative or quantitative) will become the primary research design? The primary and best research design to use for this merger would be a quantitative design. The quantitative research design will help measure the employee’s attitudes, behaviors, and opinions. Staples can create a survey for their new and current employees asking them how they feel about the merger and is the transition phase going smoothly, are they happy, and if they are not what are their immediate concerns and how do they feel Staples should address these concerns. This research method would also work well with the consumers, new and old ones. Staples will be able to use this...
Words: 781 - Pages: 4
...EXECUTIVE SUMMARY The Home Depot is an American retailer of home improvement, construction products and gardening products. Frank Blake is the Chairman and Chief Executive Officer of the Home Depot. The Home Depot was founded in 1978 and it is considered the largest home improvement retailer globally. Home Depot has 1786 stores within USA, Mexico, Canada, China, United Kingdom and South America. Competitions in the home improvement industry are based on several factors such as price, quality, durability, product features, customer preferences and warranties. The Home depot has shown its excellent past growth with the products involved in home construction, maintenance, renovation and remodeling. The Home depot has its main target market in...
Words: 3770 - Pages: 16
...Wal-mart couldn't hack the pro-labor union culture of Germany. Another is that Germany is anti-American when it comes to name-brand retailers (even though Dunkin' Donuts and Starbucks are popular there).” B: Wal-mart failed because of their lack of knowledge, of foreign countries. In order for Wal-mart to have a successful business over seas, is to do research about the particular country that they want their cultural business to be located. “There are many reasons why Wal- Mart’s business model failed in Germany, such as Cultural attitudes, Customer Service, and Cultural arrogance all contributed to what one economist referred to as a failure. But under these basic economic decisions were a host of basic cross- cultural mistakes that fuelled the company’s poor strategic planning.” They had the right idea on how to approach Germany, but they didn‘t do their research on the country it‘s self. “Wal-Mart failed to take into account Germany’s cultural attitudes, especially with regard to such matters as labor law and the role of unions.” Wal-mart’s guide lines are focusing on just the company and not about the different countries values. “Wal-Mart also runs afoul of requirements that workers‟ representatives be consulted before introducing changes in working conditions.” If Wal-mart would have did more research on Germany, because Germany expects a discount store to stick with their corporate values. Wal-mart’s company would have been successful, but their company failed at make an equal...
Words: 1662 - Pages: 7
...TAVIS COBURN Deep, lasting culture change requires an integrated approach that remodels a company’s social systems. The leadership team of Home Depot employed a remarkable set of tools to do that. by Ram Charan W hen Robert Nardelli arrived at Home Depot in December 2000, the deck seemed stacked against the new CEO. He had no retailing experience and, in fact, had spent an entire career in industrial, not consumer, businesses. His previous job was running General Electric’s power systems division, whose multimilliondollar generating plants for industry and governments were a far cry from $10 light switches for do-it-yourselfers. re tu ul C Change HOME DEPOT’S BLUEPRINT FOR april 2006 61 H o m e D e p o t’s B l u e p r i n t f o r C u l t u re C h a n g e Nardelli also was taking over what seemed to be a wildly successful company, with a 20-year record of growth that had outpaced even Wal-Mart’s – but with latent financial and operational problems that threatened its continued growth, and even its future, if they weren’t quickly addressed. To top it off, Nardelli’s exacting and tough-minded approach, which he learned at General Electric, set him on a collision course with the freewheeling yet famously close-knit culture fostered by his predecessors, Home Depot’s legendary cofounders, Bernie Marcus and Arthur Blank. It was this culture that Nardelli had to reshape if he hoped to bring some big-company muscle to the cooled from the breakneck pace of the...
Words: 7019 - Pages: 29
...n | Recruiting Document | For Middle Managers in Mashhad, Iran | | | Business Communications (1) | Team 5 黄淑嘉 1130600046 Amber 林炫孜 1103600074 Maggie 曲有为 1130600104 Viya 王希瑜 1130600137 Christina 杨雪礼 1130600165 Sophia | 2013/4/15 | Content 1 Introduction 2 2 Company Profile 2 2.1 Company Overview 2 2.2 Company Mission 3 2.3 Company Business 3 2.3.1 Passenger Transportation 3 2.3.2 Freight Transportation 3 2.3.3 Other Business 4 3 Recruitment 4 3.1 Working Background 4 3.1.1 Iran 4 3.1.2 Mashhad 4 3.1.3 Guangshen Railway 5 3.2 Job Position 6 3.2.1 Middle Marketing Manager (Iranian) 6 3.2.2 Middle Human Resource Manager (Chinese) 7 3.3 Requirements 9 3.4 Offer and Welfare 9 3.4.1Get you ready to your career 9 3.4.2 Make you happy in your career 10 3.4.3 Safeguard your interests after your career 10 4 .Conclusion 10 References 11 Bibliography 11 1 Introduction For Guangshen Railway Company Limited’s (GSRC) own development, exploiting new growth market, strengthening our influence and obtaining cutting-edge technologies as well as management skills are always our main motivations. Under the global market, we expend our ambition to a middle-east country, Iran. Equipped with rich experience and scientific management system, we believe that Iranian railway market can be our new cornerstone to the world’s...
Words: 2459 - Pages: 10
...acknowledge my heartiest gratefulness to all who have extended their hands of cooperation in preparing the report. At first I express my gratitude and acclaim our indebtfulness towards my relevant course instructor Showvonick Datta for his overall guidance, advice and support in encouraging our reponsibilities consciously while creating this report. I would like to express gratitude towards Mr. Faijullah Zisan, Assistant Manager Export, PRAN Export Limited for his assisting approach and effort to provide me the necessary information and kind assistance while preparing this report. I would also like to thank all the employees of PRAN Export Limited members for their sincere effort in completing this report. Without the teamwork and assisting attitude of the members of PRAN Export Limited it would not have been possible in finishing this regulatory report. I would be thankful if this report comes to any benefit of my teacher...
Words: 8958 - Pages: 36
