The Edge

Richard Northedge takes on corporate finance

Archive for the ‘Brands’ category

Good time for American companies to buy into Europe

Kraft’s takeover of Cadbury has generated more than enough heat to melt a chocolate bar but the surprise should be that more US companies are not bidding for British businesses. There may never be a better time for American bidders to pick up cheap UK companies.
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The “Cadbury Law” is bad

The one company Labour’s proposed “Cadbury Law” would not have protected was Cadbury. Despite the French protection of their yoghurt industry, saving a chocolate company cannot be considered to be in the national interest.
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Why is Goldshield’s buyer warning that it got a bargain?

Profits warnings are common during recessions but the oddest seen so far comes from Goldshield Group. The new owner has looked at the books and said that for several years the pills company’s profits may have been understated. Yes, understated.
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Cadbury directors melt like a Dairy Milk

So now we know the price of principles. Less than 10 per cent. For an extra  £1bn from Kraft Foods, Cadbury’s (LON:CBRY) directors have melted like Dairy Milk on a warm day and crumbled like a Flake bar.
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Tiger Woods commercial future crashed with the car

What would the gurus at Accenture (NYSE:ACN) say about Tiger Woods’ predicament following his early morning car crash? The golfer has been the face of the management consultancy since 2003 and the mystery over the collision risks affecting his commercial earnings as well as his playing career.
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Cadbury: It’s investors who decide bids

Now that Kraft Foods (NYSE:KFT) has made its hostile bid for Cadbury it is worth remembering what a hostile takeover offer is. It is one that the directors reject – not necessarily one the shareholders oppose.
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Restricting choice does not aid competition

Preventing a popular company from growing is an odd way to serve the consumer, but that is what the Competition Commission is doing in restricting Tesco’s expansion to give less popular supermarkets a better chance to expand.
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Scrapping the brand to go local

When brands are king there is an interesting move in the opposite direction at Wyevale garden centres. The name is being removed from most of the 122-strong chain so that they look like independents.

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Vertical integration takes off again

Is the global business model about to be turned on its side? After years of horizontal expansion, Boeing has suddenly rediscovered vertical integration. The planemaker is buying its suppliers.
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Losing goodwill by changing names

Now that the Abbey, Bradford & Bingley and Alliance & Leicester names are going, should the really troubled banks be rebranded too? What goodwill is there in now names like Northern Rock or Royal Bank of Scotland? Or Halifax of Bank of Scotland?

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