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1. Why was the Kraft General Foods merger so successful?

2. What are the lessons for how to merge two companies? for how to coordinate
across business units?

3. Should Kraft General Foods now consolidate its sales forces and
distribution systems?

1. Why has the merger of Kraft and General Foods been such a success?

 what are the synergies, scope economies it exploits?

 how big are those? compared to what?

 where are the big numbers?

2. How did Kraft contribute to General Foods?

 was Michael Miles worth the acquisition premium?

 was it only one person they needed to hire?

3. What phases were there to the implementation?

 what did KGF do right at each stage? any mistakes?

 was the speed correct?

 what are the pros and cons of each alternative? When is each appropriate?

 were personnel decisions made appropriately?

 why the operating focus?

 any other important trade-offs/choices KGF faced?

4. Why the gradual implementation of coordination?

 what are the characteristics of synergies that are easy to achieve?

 what can self-interest achieve?

 will the senior vice presidents be effective? what will they be able to
achieve?

5. Should KGF consolidate its sales forces and distribution networks?

 what are the benefits and drawbacks of the moves?


 why has it not done so to date? why is it so difficult?


6. What went wrong?

 what triggered the most recent change?

 anyone want to change their opinion about speed now?

7. What does Philip Morris contribute to KGF?

 does its corporate strategy create value?

 should Philip Morris have diversified?

 what does KGF give to Philip Morris?

 What grade do you give Hamish Maxwell's over his 1984 to 1991
tenure at Philip Morris?

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