Subject category:
Entrepreneurship
Published by:
Stanford Business School
Version: 21 May 2013
Length: 20 pages
Data source: Field research
Abstract
This case is taught in a course called Formation of New Ventures and is intended to help students evaluate the pros and cons of a buyout from a strategic acquirer. Students are asked to first critically examine the working dynamic and governance structure between Rigo, Lepinard, and other leaders in the company. Then they are asked to evaluate the attractiveness of a buyout offer at a time when the company is fruitfully growing. Students are ultimately asked to spend considerable time weighing the pros and cons of doing a deal with Starbucks as a large strategic buyer.
About
Abstract
This case is taught in a course called Formation of New Ventures and is intended to help students evaluate the pros and cons of a buyout from a strategic acquirer. Students are asked to first critically examine the working dynamic and governance structure between Rigo, Lepinard, and other leaders in the company. Then they are asked to evaluate the attractiveness of a buyout offer at a time when the company is fruitfully growing. Students are ultimately asked to spend considerable time weighing the pros and cons of doing a deal with Starbucks as a large strategic buyer.