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I have the wine country harvard simulation and I have comes up with the following strategy for Starshine to merge with Belvino. Is it correct?
I have the wine country harvard simulation and I have comes up with the following strategy for Starshine to merge with Belvino. Is it correct? When negotiating the acquisition of Bel Vino, our strategy begins with the base scenario, assuming the highest level of synergies for Starshine and the lowest discounted cash flow DCF valuation for Bel Vino. The objective is to minimize expenditure and retain control by holding of the shares. Our initial offer will be share with an aim to negotiate close to this price. However, our reservation price is set at share reflecting Bel Vino's highest synergies. Although this price entails losing the majority of shares, it remains financially beneficial.We will attempt to persuade Bel Vino by focusing on our potential synergies of increasing sales as this is one way Starshine beats Bel Vino. Bel Vino needs access to Starshines international distribution system and could utilize Starshines expertise in marketing. If favorable offers are received from BV and IB then whichever one provides a higher total selling price will be accepted.
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