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Growing A Company Case Study Summary

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Case study: Growing a Company by International Acquisition As a successful corporation, the Davis Service Group has reached its market maturity in the U.K., in order to grow, it has to consider to expand outside of the U.K. To achieve the company’s goals, it needs to evaluate its options and develop its expansion strategies, in addition, to analyze its potential markets, especially in the EU areas. Thus, this essay will discuss four questions that related to these topics that may provide some insights to the viewers. The four questions include 1) Explain the ways that a company may expand its business, 2) Discuss the reasons why the acquisition of Berendsen is a good opportunity to the company’s success, 3) Analyze the factors that may encourage …show more content…

Vertical integration includes two types as well- “backward” and “forward” (The Times 100, 2013). For example, when Sunlight joins with a firm that makes hotel sheets, this is called backward vertical integration; when Sunlight joins with a company that distributes and transports the sheets, it is called forward vertical integration. Both “backward” and “forward” vertical integrations can benefit Sunlight from production quality control to the cutting down the operational cost. Besides the merger, a company can also grow through the “take over” or acquisition, such as the Davis Service Group acquired Berendsen, a successful textile service company that operates in several EU countries such as “Denmark, Sweden, Norway, Austria, the Netherlands, Poland and Germany” (The Times 100, 2013). This is an example of a horizontal integration. 2. The reasons that the acquisition of Berendsen has provided a good opportunity for the Davis Service …show more content…

By exploiting its expansion options and analyzing its potential marketplace, we evaluated the factors that can affect the company’s business integration and organic growth as well as its future performance. Based on its knowledge, expertise and competitive advantages, I can see that the Davis Service Group can continue its growth and expansion in its overseas

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