Back to the Future: The reemergence of Strategic M&A
GE wrestled Honeywell from the arms of United Technologies
in October, while AOL and Time Warner hope to seal their merger
deal this month. Both events underscore an important shift: Old-fashioned
mergers and acquisitions may have surpassed "the Internet" on CEO's
agenda. Indeed, The Street.com's Internet Sector Index has fallen
fully 59% since its peak in March, while total market cap of acquired
firms in the top ten M&A deals completed this year has already reached
$650 billion, 46% ahead of the same measure for all of last year.
M&A, clearly, has resurged.
Moreover, as deals like GE's and AOL's show, M&A has reemerged
as a core strategic tool that not only can strengthen a company's
competitive position, but also redefine an industry.
The Narrow Path To Victory for B2B Exchanges
The hype is over for business-to-business exchanges. The true path
to value is just emerging. Although stock marketplace darlings like
Ariba and VerticalNet have seen their stock prices plummet 60% -
80%, the road to victory for these exchanges isn't closed, it's
Are more strategic decisions in your company being made at the
"frontline," i.e., by employees working in the field with customers?
B2C Survivors: Four Signs of Seaworthiness
So is it time for the smart rats to leave a sinking ship? Is all
B2C e-commerce going under?
A recent Bain study suggests the smartest rats will reserve judgment
until they've checked out four signs of seaworthiness in their eCommerce
ventures. These include their abilities to: sell products through
multiple channels; use the Internet to improve the cost and means
by which products move from suppliers, in-house and on to customers;
create functions on their sites that engage customers and convert
browsers to buyers; and offer unique products or services relative
to established mass competitors.