International Business Law

Running Head : BUSINESS LAWInternational Business LawNameCourseInstructorDateIntroductionAsset acquisition is non a new strategy in the modern communication tune world Most furrowes use this as a ray to achieve its long term objectives The primary goal is normally to maximize the sh beholders wealth . Even the past acquisitions bring on a good deal failed to add signifi bay windowtly to the value of the acquiring firm valueThis has loosely been receivable to poor planning fit out by fact of certain contingencies such as the adjustment in buyers purposes (Miles br R .E . and Snow , C . 1978 . This throw out have a negative effect on two firms in their quest of business . This calls for a proper planning sooner whatever acquisition strategy is undertaken . Such proceedings are excessively subject to the legal rule s and regulations of their countries of incorporation and operationsAntiques R US Inc entered into a verbal agreement with Yankee Antiques which is an American firm for the bribe of a desk used previously by one of its employees before retirement so as to resell it for a enceinte profit but the tar instituteed customer refused to buy it on claims of genuineness and the supplying firm has refused to take return of the desk and instead press on pass onmentI as the sin president of Antiques R US Inc . have been instructed by my hit , who is the president of our federation , to overlay this job and furnish him with a report about how this problem can be handled as Yankee Antiques is an important provider to us and hence we must(prenominal) keep this cordial business relationship .

The problem is due to the fact that our supplier has refused to accept the return of the desk and instead insists on payment while my boss does non want to pay for thee desk because of its authenticity and that our comp whatever is having a severe bullion hang up crisis hence lack of money to payIn this , various strategies go onward be evaluated and the best strategy elect . Various strategies can be identified . These include payment through the come in rather than cash , merger , contractual affiliation , adaptation and reselling and acquisitionIssuance of securitiesSince our company is having a cash shortfall , paying in terms of securities will mean that our cash position is not affectedThe suppliers would also be willing to induce a transfix in our company due to great performance . otherwise benefits such as wide decision making and portal to loan facilities will also be available as a result of this an d . The biggest disadvantages of this strategy are the dilution of ownership and entangled decision making process because the make sense of parties to be consulted has increasedAntique R US Inc . is a small company which is in camera owned and hence this share issue will have associated costs . These shares have to be issued in congruity with subdivision 4 (2 ) of the securities Act of 1933 for a private issuance of securities without any public solicitationThe supplier would also be...If you want to get a full essay, order it on our website: OrderEssay.net

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