Havells Case

1. Does the proposed learnedness make sense for Havells? Why or why not? Ans: The proposed science makes sense for the following reasons: ? The acquisition of Sylvania forget give Havells access to the wide trade networks of SLI. It will serve as a good channel for marketing Havells products in Europe ? Access to the R&D and engineering capabilities of SLI ? Ownership of various brands of Sylvania: Sylvania, Zenith, Linolite, Claude, Concord and Marlin ? Exposure to fire and lighting fixtures segment, as Sylvania was primarily engaged in this segment whereas Havells had a small presence in the lighting market. 2. What are the study lucks associated with this acquisition? Can these be managed? Ans: Major Risks associated with the acquisition are- Strategic risk is the current and prospective impact on earnings or capital arising from adverse business decisions, amiss(p) implementation of decisions, or lack of responsiveness to industry changes. on that point is a risk that the acquisition fails to bring out the sought after synergy Operational risk is, as the name suggests, a risk arising from execution of a beau mondes business functions.

It is a very broad concept which focuses on the risks arising from the people, systems and processes through which a comp some(prenominal) operates. There is a huge difference in the socialisation of the two companies which presents a challenge of the integration of the European executives in the Indian team. y Financial risk is an umbrella term for any risk associated with any form of financing. Risk may be taken as downside risk, the difference between the actual give way and the expected return (when the actual return is less), or the indecision of that return. The acquisition deal of Sylvania was expected to cost more than $cc million, which is a huge amount for Havells. Also there is uncertainness about the returns from the acquisition If you want to get a ample essay, order it on our website: Orderessay

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