“Why a Deal Is Done”
by Stuart Grief of Textron.
1.Grief presented reasons for separating the analysis of potential M&A into the “why” and the “how” with emphasis on the “why.” Develop a scenario in which “how” might be the most important question and could influence the “why.”
2.In the Textron M&As, the “why” is handled by the firm’s strategic function and the “how” by the M&A function. Discuss both the pros and cons of that approach.
3.Grief said that when Textron is considering an acquisition, it asks if it is the best “parent” for the potential acquisition. What did he mean by that and does that make sense to you? Why or why not?
4.In global acquisitions, it is possible that a focus on “why” might yield a decision to go ahead with an M&A that fails due to overlooking the cultural issues in the “how” question. Explain why that is possible.
