Acquiring another organization in the same industry


Select a Virtual Organization using the student website. Assume your organization is privately held, wants to expand operations, and is faced with three options for expansion:

  •     Going public through an IPO
  •     Acquiring another organization in the same industry
  •     Merging with another organization


Write a 1,050- to 1,400-word paper in which you compare and contrast options and make a recommendation about which strategy the organization must choose. Address the following:

  •     Strengths of each approach
  •     Weaknesses of each approach
  •     Opportunities of each approach
  •     Threats of each approach


Also consider the following as it relates to all three options should the organization pursue an international location:

  •     Effects of globalization on financial decisions
  •     Factors that contribute to exchange rate risks
  •     Mitigating exchange rate risk

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Finance Basics: Acquiring another organization in the same industry
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