From the course: Executive Decision-Making

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Acquisition

Acquisition

From the course: Executive Decision-Making

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Acquisition

- In this chapter, I'll offer several examples of executive decisions that were made and how the principles were or were not followed, as well as the result of those decisions. The first example is a product-based company that conducted an acquisition. They purchased a retail chain, as well as an online channel. They spent tens of millions of dollars purchasing this business. The initial premise for making the acquisition was they were going to push their existing products through the new retail chain and the new online channel. There were two issues with this decision. First, poor data was used to make the case for the acquisition. There was no real understanding of what the key metrics were of this new business, nor were there adequate monitoring plans in place to monitor those metrics after the purchase was completed. The second issue was strategic considerations weren't adequately considered. Competitors hit the…

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