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181 EUROPEAN BUSINESS JOURNAL Organising for grant success Geoffrey Cullinan, Sam Rovit and Andrew Tymms The recent declivity collapse of some high-profile deal- havers has led many executives to pull can from mergers and acquisitions (M&As). But a Bain & Company study has free-base that the companies some successful at creating longterm sh arholder value tend to make acquisitions constantly through boom and bust. The most successful deal-makers are companies that shop frequently, use dollar-cost averaging to identify opportunities instead of trying to era the markets, and mainly buy companies a fraction of their size. They build experienced deal teams that compensate involved in all acquisitions, they lay line expertise, and they always set a walk-away price and take to leave the table if the deals economics give out to make sense. The multinational food company Nestlé provides one exemplar of how the best acquirers can create value. practices tilted the odds in favour of the most successful deal-makers. Acquirers that consistently performed best were companies that shopped frequently, apply dollar-cost averaging to identify opportunities instead of trying to time the markets, and mainly bought companies a small fraction of their size. (Mergers of equals are tougher bites to swallow.

) So, how do we reconcile our conclusion that frequent acquirers outperform wallflowers with the well-researched fact that most deals fail? take off of the answer has to do with the fact that we evaluated acquirers rather than individual deals. What we found was that certain kinds of companies, such as those that acquire frequently, beat the odds through discipline. Our research reveals a central tenet of the deal world: dramatic M&A results are achieved from emphatically straightforward and intuitively logical practices. But the truth is, those practices â€" purchasing frequently, buying through good markets and bad, and focusing on doing the micro deals that can slowly lead to bigger deals and bigger... If you want to get a full essay, order it on our website: Orderessay

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