Contract,Mergers and Acquisition and Joint venture

Group MembersAditya Sekhar – 03Neelesh Gandhi – 13Sachin Kale – 23Vasudha Jadhav – 33Sonal Chitte - 29

Definition,features,types,a case study

A contract is a binding legal agreement that is enforceable in a

court of law. That is to say, a contract is an exchange of promises for the breach of which the law will

provide a remedy.

Essential of a valid contract

1. Offer and Acceptance2. Consideration3. Intention to be legally bound4. Third parties5. Free consent

ExampleCarlill v. Carbolic Smoke Ball Co.

Detail in word doc

Types of contract

1. Bilateral 2. Unilateral contracts

M & A

• defition

Post Merger Issues

Introduction

M& A generates synergy -also generates severe stress within the

organization

Affects employee performance

Needs positive measures to keep employees motivated and continue to excel

Introduction Success stories show companies have achieved excellent results and reaped fantastic benefits of synergyBenefits accruing depend greatly on the timings and manner in which the process is executed and integration attainedEffective Integration critical for can provide a lot of attractive options of growth, cost savings and competitive advantage

Concept of Integration in M & A

M & A involves bringing people and organizational structures of more than one type under one control and unifying them

Integration is a complex, expensive, time taking and risky A merged entity has a larger stock of liabilities becomes a double degree burden if integration not effective

Requisites of Integration

Managing multiple cultures

Innovating

Building new result oriented team

Effective management of a complex process

Activities common to M & A

Committed and open minded leadership

Building teams and work units

Focus on financial and strategic objectives

Maintaining flexibility

Providing capable and motivated employees

Challenges of Integration

Getting employees to embrace change

Sharing information and affecting corporate understanding

Setting priorities

Combine corporate functions & internal processes

Measuring results

Tools of Integration

Redefine Mission and Vision

Ensured and Open Communication

Leaders to Lead

Welcoming New Culture

Teambuilding

Post Merger Growth Strategies

Effective Human Resource Strategies

Social And Cultural Integration

Reliable Environment for Employees and Customers

Well Informed Stakeholders

Manage Expectations

Management to act as Change Agent

Post Merger Growth Strategies

Effective and crispy schedule

Detailed Market Research

Strategies for Post-merger Strategies

Roger Cline, Director of the Hospitality Consulting Services of Arthur Andersen

Provide visible leadership from top management

Ensure that the transition follows a structured and phased approach

Manage change from the outset

Use best practices to drive the creation of the new organization and its business processes

Ensure that goals are clearly defined and progress is tracked

Use cross-functional teams organized to drive the merger

Strategies for Post-merger Strategies

Ensure that communication is well planned and coordinated Recognize that a merger is fraught with risk - avoid taking too much for granted

Focus on adding value to the enterprise, while avoiding those actions that can destroy it.

Avoid the compromises that result from playing to politic

Ensure that goals are clearly defined and progress is tracked

Concentrate on key employee retention

Identify the leadership who will make the merger work 

Human side of M & A

Redefine Mission and Vision

Ensured and Open Communication

Leaders to Lead

Welcoming New Culture

Teambuilding

Elements of a good Integration Involve people in the process of the

merger Keep employees well informed Rightly answered employees Minimize the negative effects of the cultural differences Assess measures to unite people Give importance to the views and vision of executives of both the sides Right place to key talent Continuity and normalcy to all the employees No unanswered queries Satisfaction is a must An honest appraisal of the situation An effective HR department 

Joint venture

Government approvals?

How to enter into JV?