In an effort to gain market share and technological resources, AT&T and T-Mobile USA agreed to a merger that would create the largest mobile carrier in the country. Concerned about preserving competition in the wireless telecommunications industry, the U.S. Department of Justice has filed a lawsuit to block the transaction. AT&T’s management must now decide how to convince stakeholders that the benefits of a deal far outweigh the risks. Without this merger, AT&T would need to find an alternative way to remain competitive.
The United States’s second-largest wireless telecommunications provider attempts to create competitive advantage in the marketplace through a $39 billion merger with a top competitor. In pursuit of a merger with T-Mobile, AT&T ends up fighting allegations of uncompetitive practices and antitrust litigation from the U.S. Department of Justice. AT&T now looks for a strategy to promote the efficiencies of the deal and gain regulatory approval. Case # 12-02 (2012)
No firm is more closely identified with a single product than Hershey Foods is with chocolate.
Founded in 1905, and located in rural Hershey, Pennsylvania, the legendary confectioner found
itself for sale in the summer of 2002. The Hershey Trust Company, which owns nearly a third of
all Hershey Foods stock and controls three-quarters of the voting stock, elected to re-balance its
portfolio and sell the firm to either a Nestle / Cadbury / Schweppes consortium or The Wm.
Wrigley Company. Caught in the middle are The Milton S. Hershey School, employees, and
generations of Hershey residents and retirees. A classic struggle for control of the company plays
out in public. 13 pp. Case #03-03. (2003)
Hewlett Packard CEO Carly Fiorina is fighting the families of the founding members of HP
regarding a proposed merger between HP and Compaq. Fiorina sees the merger as the only way
to stay competitive in the technology market and compete with IBM. Walter Hewlett, board
member and son of founder William Hewlett, believes the merger is risky and further exposes the
company to the highly commoditized personal computer market. Fiorina must convince
shareholders about her vision for HP in order to win the proxy vote. (A) Case, 11 pp. (B) Case, 3
pp. Case #02-10. (2002)