The concept of Mergers and Acquisitions has managed to create quite a stir in the corporate world. With no dearth of opportunities in the domestic and foreign land this concept has come a long way from small friendly deals to huge negotiations. Personally, I feel this hook up can be considered a great way of streamlining the structure of corporate units. Two of the most talked about Mergers and Acquisitions that I have been strenuously following are in the hospitality and tech sector. Apart from enjoying monopoly power and a colossal of talent, it’s the elimination of competition and increased market share that can pose as the plausible benefits of the same.
One of the edgiest merger and acquisition I believe will be in the hospitality and service sector between the worlds’ foremost hotel and leisure companies, Starwood Hotels & Resorts Worldwide and Marriott International. The bid for the acquisition is termed for around $13.6 Billion. If these two conglomerates merge they will become the world’s largest hotel company chain. This transaction, according to me will put the company onto their best path, allowing them to eliminate a huge number of small and medium competitions. This combination will also initiate a plethora of opportunities that benefits their stockholders, associates, owners and guests.
The sixth largest tech merger and acquisition on record is of LinkedIn by Microsoft for $26.2 billion. Bringing these two platforms together is marvellous. LinkedIn is the world’s most valuable and only professional network and has built a strong and emergent business. They changed the world of connectivity for professionals and corporate, making them more dynamic and successful. Microsoft on the other hand, as we all know is the leading platform and productivity company. Both of these have companies have saturated their markets, and so this business combination will not only aid in accelerating each other’s growth, but also empower individuals, products and markets in order to achieve their targets to the fullest.
I believe it is worth imagining, at one side the Marriott group is buying assets of one of the biggest brands for just 13.6 billion and at the same time Microsoft is buying a platform for 26 billion, sarcastic, but can we join them somewhere? As an industrialist, I feel that this is an interesting mantra for growth and development. Such transactions are very much a need of the hour. Investments, policies, cultural diversities, talent, stability and opportunities for both the companies can be well utilized by them. Nationally or internationally, it works well for both.