Conseco Inc. Conseco was incorporated in 1979 as a life amends holding company, with the sole telephone circuit activity of raise capital. It has with child(p) over time to become one of the leading sources of insurance, investment, and expurgate products in the United States. Conseco has approximately $95 billion in managed assets, 13 million nodes, and 14,500 employees. The firm is ranked 231 on the believe 500 list, with revenues of $8.3 billion in 2000. This case not willing answer four questions pertaining to Conseco Inc. 1. Conseco management emphasizes a strategy of join on by acquisitions for the first 20 years of the companys life. Critique this approach, stage the advantages and disadvantages associated with this strategy? Advantages A. Increase Market Share Through acquisitions, Conseco backside gain great market share very quickly. Acquisitions of early(a) companies has expanded Consecos business into other geographical locations. For examp le, Codelinks a subordinate of Conseco, is groupd in India, given them the opportunities to do business there. Acquisitions strenghthens their market amaze and offers unseasoned opportunities for competitive advantage. B. Increase Customer and Sales Acquisitions increases a companies customer base and sales. When Conseco acquired blue jet Tree, it believed coarse cross-selling opportunities existed between entities. Conseco could dab into Green Trees extensive customer database with a full bourn of insurance products, freshly business sales would surely make headway.
Also, Green Tree finance products would be compatible with Consecos, so they would benefit from their c! ustomers. Acquisitions increases a companies customer base and sales. C. Increases Technology/ Reduces Costs When a new company is acquired, engineering science and information is combined. trust operations with a rival can fill option gaps, allowing the company to do things, which the prior companies couldnt do alone. Also, a rock-steady acquisition may offer healthy cost-saving opportunities. For example, Codelinks provided Conseco with... If you want to bother a full essay, order it on our website: BestEssayCheap.com
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