Virtual Organization Strategy Paper

Senior Management of PepsiCo is evaluating the potential acquisition of two companies – Carts of Colorado and California Pizza Kitchen – in order to expand the company’s restaurant business. If indeed PepsiCo decides to pursue the acquisition of one or both, they must decide how to align each of these business units in its historically decentralized management approach and how to forge relationships between the acquired business units and existing business units. In their evaluation, Senior Management is faced with the question of whether the necessary capital investment in order to purchase one or both of the businesses can be profitable for each of the acquired business units, but must

Generate a list of the ways in which you believe your responsibilities and the tasks you perform are likely to change because of the merger and your resulting new role. Hint: It may be helpful to make lists of what you imagine to be the circumstances before and after your appointment. For example, two obvious points of comparison involve number of employees (which implies many necessary tasks) and travel inherent in the job. See how long a list you are able to generate.

According to the researchers the increased value results from an opportunity to utilize a specialized resources which arises solely as a result of the merger (Jensens & Ruback, 1983; Bradle, Desai and Kim , 1983). For creating operational and financial synergies managers believe that two enterprises will be worth more if merged than if operates as two separate entities. Thus, the two companies, A and B:

2. When an acquisition takes place, there is usually a lot of concern on behalf of all the company’s employees.  Not only the company that is being acquired also by the company that is doing the acquisition.  Usually there will be jobs lost, consolidation of positions, promotions, demotions, etc. It is the responsibility of the Human Resources Department to ensure

A virtual corporation is described as a technology-linked network of companies, suppliers, and customers that are used by a company to outsource non-strategic business functions (Hershkovitz, 2012). The management of Super Bakery, Inc. identified that they could reduce their costs in permanent staff, fixed assets, and working capital (Kimmel,

Merging with another organization has downfalls of destroying wealth from the merger. Considering the buying price is important when merging, spending too much on the merger will impound the value after the merger. Some mergers do not create wealth so capital is lost through the merger. There is no guarantee of financial gain and every formula considered with focus, just as with an acquisition. The final decision dictated by the variables. One company merging with another company takes the debt and losses of those companies in the new formed company.

The topic being researched is how Kudler Fine Foods can improve the success of the business by preparing for possible competition, and streamlining expansion procedures. The sources used are the Kudler Fine Foods Strategic Plan, and The University of Phoenix online databases. Findings suggest that implementing a research and market analysis plan, as well as an effective risk management plan will ensure successful expansion and growth of Kudler Fine Foods. A risk management plan and market analysis of new locations, will allow Kudler to acknowledge potential problems and pre pare for them. The following is a problem statement explaining what is currently wrong with Kudlers plans on expansion, and how they can improve these

Major companies and corporations that comprise a big part of the United States economy take advantage of certain opportunities such as going public through IPO’s, acquisitions, and mergers. These three approaches provide an additional resource and many times an advantage to expand, become more profitable, or simply save a company’s existence.

Riordan Manufacturing is an industry leader in plastic injection molding with plants in Georgia, Michigan and now China. With the company's expansion into a global market, the electronic commerce (e-business) will be a beneficial form of commerce that is currently flourishing in the modern world of global business. The Internet is used to buy and sell goods and services world wide. Cheeseman (2004) explains that the economic growth of computer technology and e-commerce has exceeded that of manufacturing in the United States economy. E-business is used to increase

IntroductionRiordan Manufacturing is a global plastics injection molding company, employing 550 people with estimated annual earnings of $46 million. Dr. Riordan, a professor of chemistry, who had obtained several patents relative to processing polymers into high tensile strength plastic substrates, was also the founder of Riordan Manufacturing. Sensing the commercial applications for his patents, Dr. Riordan started Riordan Plastics, Inc. in 1991. Owned by Riordan Industries, which is a fortune 1000 company that has revenue of over $1 billion. They have three production plants; a plastic beverage container facility located in Albany, Georgia; a custom plastic parts division located in Pontiac, Michigan; and a plastic fan parts facility in

The island nation of Neptune a longtime U.S. ally is in a current crisis with Saturn Neptune’s primary regional rival. Saturn has imposed three distinct efforts to improve its strategic position at the expense of Neptune: Fomenting Insurgency, Naval Blockade, and occupation of Ringneck Island. In response to this escalation by Saturn, the United States has decided to stand up a Joint Task Force (JTF) with in the Pegasus Command (USPEGCOM) Area of Responsibility (AOR)

Many opportunities for Kudler Fine Foods come with going public with an IPO. A considerably greater amount of capital comes from the issuing of shares for trading on the stock market. It helps increase the amount of business taking place if Kudler Fine Foods were to become a publicly traded company. “Public firms tend to enjoy a higher profile than their privately held counterparts. This may make it easier to make sales and attract vendors to supply goods and services to the firm” (Keown, et. al., 2005, p. 413). This growth would be to the degree that the current management infrastructure could not handle at this time. There would need to be some widespread foundational changes for Kudler to have this opportunity to issue stocks. The company knows the current stockholders, the value of the employees, and the company’s customers.

When companies combine/merge the whole objective is to gain new opportunities, gain market share, grow the business, to become more innovative and to improve product offerings, utilizing/sharing the existing resources and data. From the case

There are considerable advantages with obtaining equity through the IPO process. There are, however, some drawbacks that also need to be taken into consideration. Some of the advantages and disadvantages are:

This case gives comprehensive coverage of a firm’s decision to start an initial public offering but also to go through the process of going public. TRX is a company managing travel-and-data processing activities for its clients. Its target market has significant transaction volume in travel agencies, travel suppliers, large corporation and credit-card issuer. Regarding its service offerings, it focuses on transaction processing, data integration and customer care. Its fortune tied to the overall health of travel industry. TRX generates a lot of revenue but less profit. Trip Davis, Chief Executive Officer of TRX, Inc. decided it was time to raise capital in order to fund the growth of the company. His main focus was to accomplish a strategic recapitalization of TRX. This case gives a brief history about several events from the company’s incorporation in 1999 through the completion of an IPO in September 2005. The main goal is to raise capital but there is also a consideration of another reason for going public. In November 1999, they tried to go public but the IPO was never finalized. After the failed IPO, Trip Davis and TRX president decided to focus on strategic investors in order to raise $20 million convertible into equity at $11 per share. In 2004, he believed that Sabre, Inc. one of the largest strategic investors was not working for the best interest of the company. He took into consideration three possible capital raising options: IPO, private placement of equity, or