This 15-page paper provides an example of a research methodology and design to test stakeholders' reactions to a merger and acquisition. Bibliography lists 6 sources.
Name of Research Paper File: AS43_MTcadbkraf.rtf
Unformatted Sample Text from the Research Paper:
listed below. Citation styles constantly change, and these examples may not contain the most recent updates. CAUSES AND CONSEQUENCES OF ACQUISITIONS: KRAFT AND CADBURY Research Compiled
by 4/2010 Please Introduction Consolidation seems to
be the trend in a variety of industries, thanks to the global recession. In this eat-or-be-eaten environment, one of the acquisitions that has attracted a great deal of attention has
been Krafts hostile bid to take over Cadbury plc. The 186-year-old candy maker lost its desire to remain independent turned south when one of the companys hedge fund managers indicated
a high enough offer from Kraft would be acceptable for a takeover (more than one-quarter of Cadbury shares are in the hands of hedge funds) (Roberts, 2010). Franklin Templeton, a
large U.S. mutual fund that owns 7% of the companys shares, indicated it would be willing to accept 830 pence per share for a buyout (Roberts, 2010).
This has led to questions about the role of hedge funds in corporations, how unions will react to the takeover, and the outcry from just
about everyone in the United Kingdom that a veritable institution like Cadbury will be in the hands of a company that is probably best known as a processed cheese maker.
This tends to lead to another question. Given that hedge funds and other investors are involved in takeover attempts (and employees rarely
have a say in such things), how does a hostile takeover impact a company such as Cadbury, which must answer to a series of stakeholders, such as employees, local investors