The purpose of this discussion is to discuss and reflect on the various challenges and opportunities associated with mergers and acquisitions in business organizations. Specifically, we will ask: what makes some acquisitions more successful than others? What are some of the drivers of effective corporate acquisitions? We address these and related questions using the CEMEX case as this company is recognized as one of the leaders in post-acquisition integration among global multinationals.

Read the following case on CEMEX and its acquisition-based growth strategy: CEMEX Way (Click to Open)

Answer the following questions in your discussion posting:

1. As we read in Chapters 6 &7, mergers & acquisitions are a major form of corporate diversification strategy. Using the lecture slides on Chapter 7, identify and discuss the top three reasons why most (50-60%) of acquisitions fail to create shareholder value.

2. What are the five major components of CEMEX Way and why has this approach been so successful in post-acquisition integration?

3. In your opinion, what can other companies learn from the CEMEX Way as a benchmark for acquisition management?