Typical business acquisitions, two types of acquiring businesses

Mark Zuckerburg, Facebook CEO, Statement on acquiring Instagram.

“This acquisition decision by MZkbg is an important milestone for Facebook because it’s the first time we’ve ever acquired a product and company with so many users. We don’t plan on doing many more of these, if any at all.”

Case Studies

Unilever Pakistan Acquisition of Polka Ice-cream in 1997

The Acquisition of Polka by Unilever Walls:

Acquisition is the purchase of one company by another company. For successful acquisition deal, company should take enough data about the market position and market performance of acquiring company. Because of not collecting enough data, 50% of acquisition deals are unsuccessful. Here we represent an example of successful acquisition deal. Acquisition of Wall’s with Polka In 1996,

Mark Zuckerburg, Facebook CEO, Statement on acquiring Instagram. “This acquisition decision by MZkbg is an important milestone for Facebook because it’s the first time we’ve ever acquired a product and company with so many users. We don’t plan on doing many more of these, if any at all.” Case Studies Unilever Pakistan Acquisition of Polka…

In 1994 Lever Brothers tried to acquire Polka ice cream for US$ 600 million but Polka refused the bid and they demand one billion rupees. But Wall’s established an ice cream factory in eleven months and did not acquire Polka (untill 2007). In February 1995, Wall’s launched with twelve products. After the launching they gave tremendous services and Polka loosed its market share. At this time Polka approached Wall’s to sell itself but now Wall’s had done all the hard work which they did not initially want to do by acquiring Polka.
The administration of Polka spread a rumor that Nestle is coming through Polka which Wall’s did not want because Nestle is the biggest competitor of Wall’s. So Wall’s purchased Polka in 1997. The Strengths of the acquisition of Wall’s with Polka. After the acquisition they are working together for many years. On Polka packaging there is a brand mark of Wall’s ice cream. The acquisition of Wall’s with Polka enhances the resource strengths and competitive capabilities of these companies in this way. 1. This acquisition made Wall’s the unchallenged leader and now the sale of Wall’s 85% and all other brands like Yummy, Hico and Igloo have sale with single digit.
Omore is another emerging brand but its sale cannot compete Walls. 2. The Wall’s emerged as “Impulse Brand” 3. Unilever is also the most reliable brand in the country and through this acquisition Polka also saves itself from the tough competition and also realize that it was facing loss in market share before the acquisition 4. If Nestle was approached Polka then it would become biggest threat for Wall’s as Polka was the only local brand and also most familiar brand for the people of country.
The Wall’s save itself from tough competition through acquisition.

2nd Case study is: Acquisition of Rafhan BestFoods by Unilever Pakistan in 1999

Mark Zuckerburg, Facebook CEO, Statement on acquiring Instagram.

Case Studies

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