Organizations and Culture: Merging and acquisitions

first of all i am going to explain what is to merge and what is and acquisition.

For merging we can undestand a combination or absorbtion (two companies get into one).

For acquisition we can say is gaining posession that can be partial or total.

A very interesting company i chose is called Ranbaxy, which is an indian pharmaceuthical company and one of the most important and large pharmace

uthical indian firms world wide. i chose this company because with this i can explain with an example what merging and acquisition is.

What i see more interesting is that this company uses a very know method to get into a new market, and also to help other companies get into the indian market, this method is called join venture. This is an agreement in which two or more companies say they are going to cooperate and work together usualy for a defined time.

A company called Eli Lilly saw the rapid growth of Ranbaxy company and saw the opo

rtunity to make a joint venture agreement with this company so they would be able to enter the indian market and sell some of their selected products.

Ranbaxy had a rapid growth because of their well managerial skills and the opportunities that was in the market at that time. In 1995 Ranbaxy acquired the Ohm Laboratories in us so they would be more competitive by producing in that country and not having to ship all products. In 1998 this company starts making producs for US under its own name.

One of the problems US paople see for this market is that the government has not increased the number of visas so it gives indian companies some advantage because they have the people, and this is why the acquisition or merging has become so popular nowadays for many companies world wide

Information taken from:

http://trak.in/Tags/Business/ten-indian-companies-merger-and-acquisition/

http://www.ranbaxy.com/aboutus/history.aspx

http://www.lilly.com/about/

Images taken from:

http://www.reclamos.cl/reclamo/ministerio_de_salud_pastilla_del_d_a_despu_s

http://www.greenlaunches.com/2008/06/index.php?page=2