Saturday, July 27, 2019
Case Study Analysis Example | Topics and Well Written Essays - 1500 words - 2
Analysis - Case Study Example This implies if a go ahead would be granted for the firms to merge the market risks a situation whereby there is minimal competition with one company controlling pricing since the other players would not match its market penetration together with the customer base that it commands. Apparently the suit came a month after the merger had been completed when nearly all the required transactions had already been sealed. Some of the Wild Oats outlets had been rebranded to Whole Foods while other had been closed down or sold in cases where the two previous companies held concurrent stores. The share capital agreed to this particular merger deal was settled including Whole Foods absorbing the debts that Wild Oats held previously (Aprill, 2008). The suit was heard and determined by the district court where it was decided that all the due diligence required was followed thus giving the merger a clean bill of health to conclude the deal. It was a great relieve for both companies since they would not engage in reverse negotiations in the event the deal was canceled. However contrary to everyoneââ¬â¢s expectations the Federal Trade Commission went to the court of appeal to contest the ruling after some stores were found running under the original name of Wild Oats. The CEO of Whole Foods was in a dilemma of whether to continue affecting the remaining process of the merger or wait for the determination of the case in case the previous ruling is overturned in favour of Federal Trade Commission (Aprill, 2008). The industry is founded on the trend in which consumers are turning to healthy living by consumption of natural and organic foods to avoid the effects that come along genetically modified foods. Recently a steady rise has been observed in many American households in terms of the number of people suffering from lifestyle diseases a majority of these cases are
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