The last mile is the hardest

last_mileTwo partners, Bob and Tom, were getting tired. They had met years ago while both employed by the same company and together had developed a better mousetrap. Now it was 18 years later and they were looking for a way out.

 

The business they co-owned did alright and had provided well for their families but would best be described as a life-style business. Continue reading “The last mile is the hardest”

Choices (it’s all about risk)

terra cotta warriorsThis company had struggled for years to reach profitability when I received the call to talk to the founder about his choices in the marketplace.

Why not consider a back up plan in case the funding source you are counting on does not materialize? After all, being a partner in your project is better than failure, which often has personal repercussions beyond the business losses. Continue reading “Choices (it’s all about risk)”

The Lion’s Way or The Right Way?

tigerAuthor Seth Godin has a book in his creative inventory called “Survival is not Enough”. In it, he writes about corporate DNA (he calls it mDNA) which includes everything that makes a company what it is….products, brands, people, IP, et al.

In it, he writes about acquisitions of other companies and that one of the primary reasons for an acquisition is to add new DNA to the acquirer’s corporate DNA to make it stronger. Continue reading “The Lion’s Way or The Right Way?”

Risk Management Discussion Thread

african art 2The following are the astute observations of Carl Hagberg, pulled from an online acquisition Risk Management conversation about M & A, shareholder value, and strategic issues. My comments (that Carl refers to) follow in the More section.

Carl is Editor and Publisher at The Shareholder Service Optimizer
Greater New York City Area http://www.optimizeronline.com/

& he is Chairman & CEO at Carl T. Hagberg and Associates

As an investor, I am extremely concerned by the perfectly awful returns on investment – overwhelmingly terrible ones as the above-cited numbers point out – that have been booked year after year as a result of bad acquisitions by public companies. Continue reading “Risk Management Discussion Thread”

Brand Management in an M & A Environment

damon2         
Brand Management in an M&A Environment

In a solid and well-managed integration, prior planning of branding and transitioning customer loyalty and name recognition is a thoughtful and deliberate process. Leadership makes the time for careful consideration of how to maximize the brand equity and retention while removing ego from the equation.

Now lets talk reality. Have you ever seen the dominant player in a merger or acquisition impose their branding even when the product already has strong market share and loyalty? 

I’ll assert that the ego’s involved were bigger than the combined annual revenue of both companies.

There are too many variables for there to be one single solution or ‘best’ way to integrate brands. 

Consider the market – is it local, regional, national? (e.g. Micro-Brewery brand may not translate to a national market)
Consider the target demographic – are they fiercely loyal? (e.g. Apple Computer)
Consider the future – which brand is better positioned for the inevitable changes in the market place? (Sprint’s CDMA technology or Nextel’s iDEN technology)

In November of 1998, when Norwest Corp officially acquired Wells Fargo, the decision was made to use the Wells Fargo brand. As a native Minnesotan and Norwest customer, I had more affinity for the Norwest brand. But a dispassionate review of the facts shows that the right decision was made. Wells Fargo had a more extensive and storied past and was perceived to have better traction in a national market.

It might be that the driving force behind the merger or acquisition is about technology or distribution channels – but at some point, that technology or channel will be marketed to customers. So I’ll leave you with this:

No customers. No revenue.
Know customers. Know revenue.

Contributed by Damon Kocina, Owner, Strategic Graphics, Inc.

Strategic Graphics emphasizing an integrated design formula to tie Branding, Positioning, Print, Web, Trade Journal, and Trade Show events into a cohesive message and presentation.

 

Have something to add? 
Got a different point of view, want to play devil’s advocate, or just think we’re all wet? Post your experiences or examples.

Blog at WordPress.com.

Up ↑

INVISIBLE CHILDREN

Acquisition, the inside story

Pacquisitions's Blog

Acquisition, the inside story

Dan Stewart Media

Promote. Express. Create.

WordPress.com

WordPress.com is the best place for your personal blog or business site.

The Changing World of Employment

The blog presence of Vallon, LLC and our friends!

The WordPress.com Blog

The latest news on WordPress.com and the WordPress community.