Global marketing ethic and culture Essay Example | Topics and Well Written Essays - 2000 words

Global marketing ethic and culture - Essay Example hese two giants turned into a contentious issue that included business rivalry, questions over ethics, loss of jobs and nationalistic feelings, to boot. This paper examines the issue from the above mentioned angles and applies management theory to the case where relevant to establish linkages between theory and practice. The first and foremost issue that was raised by the proposed takeover is the fact of monopolistic tendencies arising out of a conglomeration of two business giants. The next issue is that of undervaluation and the correct pricing structure to be applied in such a case. Further, the interests of stakeholders have to be considered as well. Finally, the issue of job losses and nationalistic sentiment playing upon the emotions of the parties involved in the debate has to be considered as well. The proposed takeover and the aftermath of the proposal turned into a business saga replete with all the action and drama one would normally associate with a business thriller. When Kraft first approached Cadbury with an intention to purchase it at a valuation of $16.2 Billion in late 2009, the offer was rejected outright by Cadbury which claimed that at this price Cadbury was undervalued. Subsequently, the offer bid was revised and Kraft even went to the extent of mounting a hostile takeover bid. After a corporate battle that lasted well over two months, both parties announced in January this year that they have agreed to a merger between the two at a valuation for Cadbury at $18.9 Billion. As one of the trade journals put it, â€Å"The historic acquisition of Cadbury International by Kraft Foods Inc. of US has just been concluded. After a five-month siege, Kraft Foods on the 19th of January, 2009 won the highly-publicised battle for Cadbury, turning its hostile approach friendly and securing the support of the UK confectioner’s board in its takeover bid. As the dust settles, industry watchers are asking what this remarkable development holds for the global