Case study 4 Procter & Gambles Acquisition of Gillette

Problem statement

In 2005, Procter and Gamble announced the acquisition of Gillette for 57

billion of dollars. These two brands offer remarkable similarities in
organizational structure, complementarity strengths in their markets and
technologies, a stronger lineup of brands, additional opportunities for scale
economies. As part of this, the case study also relates financial states of
the acquisition. Gillette acquisition has created 6000 workforce reduction.
Warren Buffet that was the biggest shareholder of Gilette at that time wins
a lots of money from this acquisition. It seems that the Procter and
Gambles Acquisition of Gillette represents a conflict of interest as the
Gilettes shareholders gain a lots of money from it. We can ask ourselves
about the fairness of the transaction.

Recommendations

As a recommendation, we suggest to P&G and Gillette shareholders to

carefully consider factors that might cause ethical problems. To check out
the compensation value for example, in the case study it is said that
Gillettes CEO earned 164M$.

Case study 5 Tata Motors : Can It Become a Global Contender in

the Automobile Industry?

Problem statement

Tata motors is a successful Indian company that is doing well in developing

countries and is famous for his Nano Car.
In 2012, Tata Motors faced different challenges in his Indian Market, new
restrictive regulations about diesel and new competitors entered the low-
costs car market.
But also in his international market, especially the problem of how to
export the Nano car in the US market.

Recommendations

Tata Motors should follow a globalization strategy, focused on:

- The growing Indian Market

India has a great potential so the company has to continue on this market
and maintain R&D development in order to overcome the diesel problem
and find alternative solutions.
- The developing countries market
Developing countries where the demand from growing middle-class of
commercial and passengers cars is growing. Tata motors should launch
Nano Cars in those countries.
- Penetrate the US market
The company has several solutions, as the nano car would clearly cause a
problem of safety in highways in the US. The solution could be to redesign
the Nano car. And to market the car has middle-upper class such as the
SMART cars in Europe.
- Developing Jaguar Land Rover in the luxury market
Because it will help the Indian company to get market share on the
international luxury market and to be present all over the world and in
developed countries. (USA,Europe:France,UK)