You may think that the world’s gigantic companies have it made. With bottom lines in the hundreds of millions or even billions of dollars, you figure they can pretty much do whatever they want when they sprawl the market that wide.
But every business has to make marketing and merger decisions, no matter how big or small. So the next time you think that an industry has settled down into its boots, consider the following news and updates about computer application giants like Apple and IBM, cable TV giants like Time-Warner and Comcast, the monster that is Facebook, and some of the automotive industry giants that have combined efforts in the past.
Computer Application Giants
Writers speculate about Apple buying IBM occasionally. This is a huge thought in itself, but one worth meditating on. What would be the pros? The cons? How would competition thin out at that point? Would employees within the ranks change jobs, or would there be an entire changing of the guard? Company managers and stockholders have to make very careful decisions on this level of business, and the details that would go into valuation and payment to different parties would be both fascinating and astronomical.
Cable TV Giants
Millions of people were in a state of shock hearing news of the Comcast Time-Warner potential merger, as everyone thought the worst of both worlds would combine and forever turn their cable experience into a nightmare. There was relief withreports of the ultimate failure of that merger plan. Too much power in too few hands. Too many variables all reduced to the same company structure. And people love their TV. Anything that would mess with the familiarity, pricing arrangements, and so on would be a black eye and headache on an industry already plagued with complaints. Once again, though, an intriguing set of decisions were set into play by corporate giants.
The Facebook Giant
Facebook buys everything. It can. It will. Maybe it shouldn’t. Maybe it should. But because it’s so big, it’s better to call them acquisitions than mergers, per se. But Facebook has a plan to give such a totality of services that this isn’t a surprise. Time will tell where the giant will end up eventually, but on a corporate decision making level, it seems as though the social media monolith can experiment at will.
Automobile company mergers are common and fascinating. As industry standards have improved and technology allows more consistency among parts, the way that production and repairs and design have moved into modular systems allows different brands to combine effectively with very little restructuring. At that point, sales will come from a series of branding and advertising structures, and company values trickle down to individual salesmen at individual stores.