Case Name :      Adcock Ingram: Decisions and Motives That Steer Acquisitions

Authors :           Charlene C. Lew

Source :             Ivey Publishing

Case ID :            910C08

Discipline :        Human Resource Management

Case Length :    16 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

The case sketches the story of a charismatic and ambitious young business leader who, through value-adding commercial transactions, has helped set a South African pharmaceutical company, Adcock Ingram, on a trajectory of growth. The case reader meets up with him in May 2009 when he faces lack of closure and an ambiguous outcome to an offer to acquire a smaller pharmaceutical company. The case demonstrates the power of relationships, where the ambitions of different parties around the negotiations table and the incentives that shape their alliances can make or break a strategic business deal. As opposed to presenting a strategic decision-point for class discussion, the case presents students with an opportunity to analyze an unfavorable outcome of a business deal, and build a concept of behavioral requirements of success in business transactions. The case has been designed for class discussion and analysis of factors of leadership that underpin or influence acquisitions. As opposed to an analysis of the commercial rationale of an acquisition, it focuses on the behavioral components of leadership decision-making and their effect on business results. The case can provide a platform for the discussion of motives, interpersonal skills and relationships, and business activities in acquisitions.