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Merger Acquisition And International Strategies Marketing Essay

For the corporation that has acquired another company, merged with another company, or been acquired by another company, evaluate the strategy that led to the merger or acquisition to determine whether or not this merger or acquisition was a wise choice. Justify your opinion.

AT&T merged with T-Mobile on 2011; AT&T is now the largest wireless carrier in the United States leaving their major competitor Verizon Wireless on the side. T-Mobile benefited from the acquisition y reducing all their debts by acquiring AT&T stocked valued. With the acquisition, AT&T focuses on increasing its network and coverage, and working on expanding their Long Term Evolution technology deployment. The wireless industry plays an important factor for AT&T to keep running in the business because they will need to work on new strategies to manufacturer new devices and to develop new application for the consumers.

T-Mobile was struggling and the company stocks were going down, their only solution was too merged with AT&T, it was a great deal for both companies. T-Mobile back in the days focused on basic services like texting, voice mail, free minutes over the weekend and accessible plan to attracted customers. They completely forgot to upgrade the internet network they were behind from their major competitors. They were doing fabulous business with all their basic services, but when the wireless data arrived they started to lose business. Most of their customer wanted high technology wanted to use new devices, affordable data plans, and they could not offer them the wireless data. They completely forgot to upgrade the internet network they were behind from their major competitors. When T-Mobile realized that all these changes were happening, and they were losing customer, they tried to get into the business again but it was too late for them. Their competitors AT&T, Verizon, and Sprint were offering to consumer new technology, new devices and advance wireless internet data. The company started to focus in provided wireless data, better services and new technology to their customers, they started to gain customer back. They could not compete with the 3G network, so they were that one that introduced the 4G to United States. Once the wireless industry caught on the 4G they started to lose their business again. This industry is a very fast market because customers want to get the latest technology and keep upgrading plan and devices.

AT&T found a great opportunity to merge with T-Mobile because that way they would be the largest wireless company in the United States. They noticed that T-Mobile was an important competitor and was an excellent opportunity for AT&T. The company is taking a huge advantage because they are competing with their competitors, and they are offering cheaper plan, phones, and no contract plan. As a prepaid company they offer the best unlimited plan at low cost to attract consumers.

AT&T made a wise choice by merging to T-Mobile because that put them as number one in this industry.

For the corporation that has not been involved in any mergers or acquisitions, identify one (1) company that would be a profitable candidate for the corporation to acquire or merge with and explain why this company would be a profitable target. 

Publix Super Markets, Inc. and its wholly owned subsidiaries are in the primary business of operating retail food supermarkets in Florida, Georgia, Alabama, South Carolina and Tennessee. The Company sells grocery, including dairy, produce, deli, bakery, meat and seafood health and beauty care, general merchandise, pharmacy, floral and other products and services. The Company's lines of merchandise include a range of nationally advertised and private-label brands, as well as unbranded merchandise, such as produce, meat and seafood. The Company receives the food and non-food products it distributes from many sources. These products are delivered to the supermarkets through Company distribution centers or directly from the suppliers (markets.ft.com).

If Publix Super Markets, Inc. will decided to merge with Bi-Lo Supermarket will be a great combination between both super markets because both compete in the same industry. Their customer will be very happy that both firms will merge because they will be able to use the discounts, and coupons. The acquiring could leverage its relationship with their customers because both companies can provide a better service, quality, satisfying customers with their customer service. The acquisition have been part of the food retailing industry and by Publix super market merging with Bi-Lo super market will create sales and revenue growth on both corporations and it will be a profitable target for both companies.

For the corporation that operates internationally, briefly evaluate its international business-level strategy and international corporate-level strategy and make recommendations for improvement. 

International business-level strategy the resources and capabilities established in the home country frequently allow the firm to pursue the strategy into markets located in other countries (Hitt, Ireland, & Hoskisson pg 223, 2013).

Apple’s international business-level strategy is making the best products and sells them around the world and uses China as their number one manufactures. The company always wants to keep improving their product and keep focuses on new innovation like the Ipad, and the IPhone 5 that will be released at the end of 2012. Their products are very exclusive and unique and every product is selling in different part of the world, their prices are a little high than any regular PC.

Apple’s main markets are United States, Europe and Asia, they sale their products and outsource their parts of their product in Korea and manufactures their product in China.

Like any company Apple have their major competitors that compete in the same industry, but Apple products are unique and they always lead in the market as number ones in the industry. The company target market is the people who love to have their products because they can experience a great adventure using their latest technology. The company will need make more affordable devices for China and India consumers.

International corporate-level strategy focuses on the scope of a firm’s operations through both product and geographic diversification (Hitt, Ireland, & Hoskisson, pg 225, 2013).

Apple Inc, international corporate-level strategy is to focus on selling their product on first world country and manufacturer their product in the third world countries due to labor is cheaper and it’s more convenience for the company. The company makes their products based on demands of the consumers; their major goal is to serve the technology market with the latest technology, selling the latest device that every customer wants to obtain at a very expensive price. The company keeps their modern image with their devices and computer, so they can keep attracting customers.

The company offer different ways to purchase their products; online or at the store in different locations in United States, Europe and Asia, they are one of the few companies that have retail stores and that one advantage against their competitors.

Apple can improve their international business-level strategy by using free application for their customers, the company offers an application MobileMe that sync different options in an Apple product to keep the calendar, email, contacts over the air, this services cost $99 per year. Instead the company should give this application for free because costumers pay an expensive price for their product, so the company should reward customer with this free application that way customers would not switch to the competition.

For the corporation that does not operate internationally, propose one business-level strategy and one corporate-level strategy that you would suggest the corporation consider. Justify your proposals.

With 41 years of service, Southwest Airlines Co. (Southwest), a low-fare major domestic airline, continues to differentiate itself from other low-fare carriers, offering a reliable product with exemplary Customer Service. Southwest was incorporated in Texas and commenced Customer Service on June 18, 1971 with three Boeing 737 aircraft serving three Texas cities - Dallas, Houston, and San Antonio. Today, Southwest is the nation's largest carrier in terms of originating domestic passengers boarded serving 76 destinations in 38 states and the District of Columbia (southwest.investorroom.com).

International business-level strategy the resources and capabilities established in the home country frequently allow the firm to pursue the strategy into markets located in other countries (Hitt, Ireland, & Hoskisson pg 223, 2013).

Southwest international business-level strategy would be to expand their flights internationally. With lot events now around the world the Southwest airlines can expand their flight and serve customers in South America and North America. With the Olympics game in 2016 and the World Cup in 2014 the company can go internationally at low cost and affordable prices those customers that will be traveling in 2014 and 2016 for those major events. The company can create a select route from Dallas to Brazil that can leave a profitable growth strategy.

International corporate-level strategy focuses on the scope of a firm’s operations through both product and geographic diversification (Hitt, Ireland, & Hoskisson, pg 225, 2013).

Southwest Airlines can compete with major recognize airlines like American Airlines, United Airlines, Delta, and Air France etc. Southwest Airlines does a great job with their local clientele and they have expanded their route and keep offering services from different destination. It can cost lot money to the company expanding their business strategy, but they can compete with different international airlines. Southwest Airlines will have to reduce their cost in low labor and higher aircraft utilization in order to survive the in the international airline industry. The company will have to use a different strategy to compete with those big international airlines and the company will have to offer cheaper prices to customers and offer free checking bags at no charge so that strategy will attract customers. Most of the companies are charging to have an extra luggage, but if Southwest Airlines propose to their customer free luggage and no charge for extra bags customer will feel happy, and they will be willing to use the airline. The low affordable flight fare in select cities and countries can bring lot revenues to the company.

Use at least three (3) quality references. Note: Wikipedia and other Websites do not quality as academic resources.

Apple Inc. Apple . Apple Inc., Retrieved on August 24, 2012 from: http://www.apple.com/environment/news/

Hitt, M. A., Ireland, R. D., & Hoskisson, R. E. (2013). Strategic management: Concepts and cases: Competiveness and globalization (10th ed.). Mason, OH: South-Western Cengage Learning

Publix Super Market Inc. Market Data,. Retrieved on August 22, 2012 from:

http://markets.ft.com/Research/Markets/Tearsheets/Business-profile?s=PUSH:QBB

Southwest Investor Relations., Company profile. Retrieved on August 22, 2012 from:

http://southwest.investorroom.com

Worthman, J (2012). AT&T in $6.7 Billion Loss on Failure of T-Mobile Deal. The New York Times., Retrieved on August 26, 2012 from:http://www.nytimes.com/2012/01/27/technology/atts-net-loss-tied-to-t-mobile-merger-fees.html


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