BRL Hardys post-merger success Term Paper Example | Topics and Well Written Essays - 1750 words

BRL Hardys post-merger success - Term Paper Example They also made similar acquisitions in France and Italy and these acquisitions were particularly targeted as credible organisations. It became relatively easier to effectively operate in the industry since there was a clearly defined network of distribution channels. The main advantage of mergers and acquisitions is that they give the company competitive advantage in that the resources are pulled together and new knowledge is introduced to the company by the people crossing the floor from the other company. The company immensely gained from the wealth of knowledge brought by people who moved from the other companies. On the other hand, it can be noted that acquisitions of reputable companies helped the company to gain a competitive advantage as a result of clearly defined distribution channels that already existed in the market. The other factor that contributed to BRL Hardy’s post merger success is a result of the stance taken towards changing the culture of the organisation. However, the new management which assumed top jobs at the merged companies was comprised of ex-BRL executives and focus was primarily aimed at the Australian market which was believed to be supportive of the company’s quality concerns. However, the company adopted a decentralisation approach whereby the middle managers were given the autonomy to make decisions in their operations as a way of improving the overall operations of their responsible departments. As such, the managers were empowered to make decisions while at the same time holding them accountable to their actions as a way of ensuring that there is conformity with the set organisational goals. By virtue of allowing the managers to make decisions in their operations, the organisation is likely to positively grow given that they will be motivated such that they w ill also develop a sense of belonging to it. Empowering the managers also helped them to be creative which positively contributed to the growth of the organisation. The other factor of BRL Hardy’s post-merger success can be attributed to the stance it took in sourcing the grapes used in wine production. Having realised that there were risks associated with the production of the grapes, the organisation decided to form joint ventures with different farmers in an attempt to ensure consistency in supply of the grapes even during periods of unprecedented events that can negatively affect supply. On the other hand, the company acquired expansive land to grow grapes and this was a good move given that it was always assured of abundant grapes should anything unfavourable occur in the environment. On top of that, the post merger success of the organisation in question can be attributed to the marketing strategies implemented such as the branding and labelling strategies. Whilst it is generally appreciated that branding a product like wine is a bit challenging from a global perspective, the company adopted a labelling approach especially in UK where it witnessed improved sales of different brands that were offered on the market. 2. Basically, the main essence of tensions between Steven Davies and Chris Carson is mainly concerned with the marketing strategies to be implemented. The head office in Australia was particularly concerned with endorsing the Australian brand of wine while Carson who operated in UK was of the opinion that this brand had been eroded especially in UK hence there was need for branding. This was the major source of tension especially with regards to the marketing strategy. Basically, branding is a basic tenet of marketing strategy given that it makes a clear distinction between different brands. Carson is of the view that there is need to relabel, reposition and relaunch the wine brand particularly in UK but this