Seven head sins divide 2: failed take-over purchases
Everybody can make wrong. The past years have commit managers and entrepreneurs however single source whole large blunders. In this new series about the seven head sins in management we spend attention at single spraakmakende bankruptcies and lay we the finger on the sore spot.
Today part 2. They get daily the papers head, but turn in many cases from on a nightmare. Either: failed take-over purchases.
By take-over purchases becomes often the argument carried that the businesses each other so good complete. Telecomcompanies Alcatel and Lucent that recently the hands hit together, for instance geographically awful good would connect with each other. Lucent sit turns especially in the United States meanwhile Alcatel just outside that many volume of trade.
Often become take-over purchases defended because they a particular gap in the productportfolio fill up. Sleepiness is swallowed thensmall business through a larger. The going together from large business leads after all mostly till aboutlappingen. Certain as their business activities and products right course are. Of software business PeopleSoft, recently incorporated through Oracle, preludes analysts for instance that about the haves of the PeopleSoft-co-workers their job would lose.
Sometimes it walks totally wrong. From international investigation appeared that on average only 35 per cent of all large mergers or take-over purchases succeeds. The past years came a lot of failed take-over purchases in the news.
And of the businesses, that symbol stood for a rash and unbridled take-over purchase politics, was the French Vivendi. In the middle of years ninety this was a dull use business. In a few year time, it grew however from till a real media-empire. The male lead in this tell was the flamboyante senior official Jean-Marie Messier that with its business one rain take-over purchase after the others at each other.
The man had been continued reorganizing and lay the whole time in the knot with colleagues and unions. Messier began to behave also more and more as an American. He led not its group from France, but from a luxury apartment at Park Avenue in New York (cost price 17.5 million dollars).
When the debts burden of its group ran to more than 30 billion euro, was the from with the fun. Vivendi appeared later on for France what WorldCom for the U.S. was. Messier might have for its wanbeheer even a time the prison in.