Lester Electronics Gap Analysis

Gap Analysis: Lester Electronics Lester Electronics has partnered with Shang-wa Electronics, a small manufacturer of capacitors for the fresh 35 years. Their partnership included an exclusive agreement for raise and selling capacitors (University of Phoenix). Recently some addition opportunities have presented themselves to some(prenominal) Lester Electronics and Shang-wa Electronics which is requiring both(prenominal) companies to make some tough decisions. Until now, Lester has not marketed home(prenominal) made products away of the United States. Operating this way Lester Electronics for birth never make up the type of exploitation that ordain be needed to expound in the industry.-wa Electronics have built a very blotto relationship throughout the years. By coming together these both companies entrust be able to avoid takeovers and project the ontogeny needs for their products. If Shag-wa is taken over by TEC Lester impart lose 43% of expected re venues over the next v dollar bill years (University of Phoenix). Bernard Lester of Lester Electronics and John Lin of Shang Merging with Shang-wa and expanding market is a growth opportunity for Lester Electronics. “Many firms have growth opportunities, that is, opportunities to invest in profitable projects” (Roess, et el., p.18).

By taking gain of the expertise and cognition from both companies Lester can go global, happen the growing demand of their products, and become a front beginning in their various(prenominal) industry. Situation Analysis Issue and Opportunity realisation The pr oposed merger between Lester Electronics and! Shang-wa will bring to pass numerous issues that if addressed effectively will lay down many opportunities for the pertly merged company. Because Lester and Shang-wa are two various types of businesses, the financial strategies of separately company differ. Merging these two companies with different financial strategies create a risk to the organization and the shareholders. Lester internalization must tump over long-term financing strategies and ensure...If you want to get a abundant essay, order it on our website: OrderCustomPaper.com

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