Currently my AS students and I are discussing monopoly power. The big news story in this area is about various companies wanting to take over Cadbury who make this:
Here is a video from Fox News about this story:
And here is the BBC news report about it:
It reminds me in some way the story between Porsche and Volkswagen, when Porsche was too small for $9bn loans it got to take over its rival. The situation became worsen as Global Financial Crisis unfolded, and eventually Volkswagen took over Porsche.
ReplyDeleteIs Kraft big enough to digest Cadbury?
Will it get any sinergy out of the deal?
Is Hershey any better?
Yes, takeovers can sometimes work out for the detriment of both parties, see , for example, Lloyds takeover of HBOS.
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