Chapter 10: Mergers and Acquisitions

Chapter 10 talks about mergers and acquisitions, and how they benefit a corporations . When two companies merge,it means they join together as one company. When an acquisition takes place it means that ownership has been transferred completely. In recent news ,Coca Cola acquired the company , ZICO pure coconut water  . In the light of the society becoming more health conscious  ,Coca Cola figured it would be a great strategic idea to acquire this company .It helps build their brand portfolio and cater to a certain market . In addition ,Coca Cola will gain leading position in one of the fastest growing beverage categories in the world. The coconut water category has seen impressive sales growth and distributions is at all time highs . This acquisition will indeed be profitable for Coke and is a prime example of how acquisitions/mergers can help benefit a corporation .