Analyse de la fusion Bandai Namco

Thèmes abordés

Fusion acquisition bandai namco

Résumé du document

Ce dossier traite de la fusion des entreprises Bandai et Namco, deux géants du secteur du jouet et des jeux vidéos. Il analyse le contexte , les risques et revient sur cette fusion 5 ans après.

Extraits

[...] At the end of this file, you can find 3 charts, representing net earnings, profit margin and Return on Equity. Financial analysis The Net earnings increased after the merger, first of all because there is necessarily an “increasing” effect when you combine 2 companies, but also because of the large scale of business. The company has been impacted by the economic crisis in 2008, which caused the Net earnings to be approximately 19 billion of less important than expected. That's been even worse in 2009 and 2010. [...]

[...] This situation may lead to a loss of balance between the two when the resources will be distributed. Moreover, the merger will for sure lead to an integration of the Bandai's character into the Namco's videogame. This common strategy aims to enhance the Bandai's image of its characters and developed around them several tie- in products. But, this strategy also seems risky because past examples of Bandai characters implementation into videogames fail (see “Digimon”). Thus, this strategy could weakened Bandai in its efforts to develop attractive characters and make him loss some clients. [...]

[...] That's why, Bandai thought to create a deep partnership with Namco will help both companies to be reactive to the environment changes and become the largest entertainment company in the world. Thereby, they will be able to face the increasing global competition. Utilizing comparative advantages to generate synergy. Bandai and Namco had different activities but weren't on the same sector. These elements form a source of complementarities. Each company could benefit from their respective strengths and know-how. Moreover, Bandai and Namco shared the same philosophy. They both were providers of dream and inspiration trough theirs products. It was thus interesting to form a merger in order to generate synergies. [...]

[...] This is a direct consequence of the huge losses and the restart plan. The company employed 7000 people at the beginning of 2010. The main challenge the company faced during the years following the merger was on a management aspect to restructure the organization, align corporate culture human resources, and strengthened financial base. Information is quite hard to obtain on those aspects, but before the “restart there has been no information on any kind of restructuration. On business aspect, the challenge was to maximize synergy among all businesses. [...]

[...] Indeed, the main strategy of the merger reveals some potential risks. The purpose of the merger was to face the high level of competition and the rapid changes in the entertainment sector. By gathering together two companies, in this sector, it would create a large organization able to face the new issues of the market. However there are some risks that seem difficult to face even with the benefits of the merger. In fact, Bandai and Namco have known some issues in their respective market that the merger can't fix. [...]