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Description
The Synergy TrapWith acquisition activity running into the trillions of dollars, the acquisition alternative continues to be the favorite corporate growth strategy of this generation's executives. Unfortunately, creating shareholder value remains the most elusive outcome of these corporate strategies. After decades of research and billions of dollars paid in advisory fees, why do these major decisions continue to destroy value? Building on his groundbreaking research
With acquisition activity running into the trillions of dollars, the acquisition alternative continues to be the favorite corporate growth strategy of this generation's executives. Unfortunately, creating shareholder value remains the most elusive outcome of these corporate strategies. After decades of research and billions of dollars paid in advisory fees, why do these major decisions continue to destroy value? Building on his groundbreaking research first cited in Business Week, Mark L. Sirower explains how companies often pay too much -- and predictably never realize the promises of increased performance and competitiveness -- in their quest to acquire other companies. Armed with extensive evidence, Sirower destroys the popular notion that the acquisition premium represents potential value. He provides the first formal and functional definition for synergy -- the specific increases in performance beyond those already expected for companies to achieve independently. Sirower's refreshing nuts-and-bolts analysis of the fundamentals behind acquisition performance cuts sharply through the existing folklore surrounding failed acquisitions, such as lack of "strategic fit" or corporate culture problems, and gives managers the tools to avoid predictable losses in acquisition decisions. Using several detailed examples of recent major acquisitions and through his masterful integration and extension of techniques from finance and business strategy, Sirower reveals:- The unique business gamble that acquisitions represent
- The managerial challenges already embedded in current stock prices
- The competitive conditions that must be met and the organizational cornerstones that must be in place for any possibility of synergy
- The precise Required Performance Improvements (RPIs) implicitly embedded in acquisition premiums and the reasons why these RPIs normally dwarf realistic performance gains
- The seductiveness and danger of sophisticated valuation models so often used by advisers
Binding Type: Paperback
Publisher: Free Press
Published: 10/26/2007
ISBN: 9781416584650
Pages: 304
Weight: 1.00lbs
Size: 9.02h x 5.98w x 0.69d
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★★★★★ 5
Great buy
Color: Champagne, Size: 6 Years
I bought 3 sizes for my sons to wear at our wedding. They are heavy duty quality material. The dress shirts are a little stiff and snug but also great quality. Would buy again 100%
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Reviewed in the United States on May 24, 2026
★★★★★ 5
Perfect fit!
Color: Lavender Purple, Size: 12 Years, Color: Lavender Purple, Size: 12 Years
It’s perfect! Just get it, like now!!!
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Reviewed in the United States on May 4, 2026
★★★★★ 5
Great outfit
Color: Mint Green, Size: 8 Years, Color: Mint Green, Size: 8 Years
Got the outfit as shown in picture and my son was so good looking in this suit. We just love it. I bought it for his birthday and he was so handsome in this suit. Thank you for such a cool suit.
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Reviewed in the United States on April 4, 2026
★★★★★ 5
Nice color
Color: Royal Blue, Size: 16 Years
Value for the money all five pcs included
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Reviewed in the United States on April 6, 2026
★★★★★ 4
Boys Navy suit
Color: Navy Blue, Size: 6 Years
Boys navy suit
Fits well.
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Reviewed in the United States on December 30, 2025