Glencore, Xstrata and the Restructuring of the Global Copper Mining Industry in 2012 Case Solution
Abstract:
Stocks of both business rose by more than 10% complying with the offer's statement, admired by experts as extraordinary: "Glencore supplies the marketing and Xstrata the functional base. The case narrates the company and economics of the copper industry and its supply chain, the various organisation designs and rivals, and the advancement of Glencore till the proposed merger.
Pedagogical Goals:
The case provides a perfect setting to study numerous theories and factors of vertical combination: industry life-cycle impacts, deal expenses, market power/opportunistic habits. It likewise highlights using vertical combination for different arbitrage systems. The information supplied permits trainees to equate the technique analysis of the possible advantages and expenses of the merger into a rates workout for the take-over.
This is just an excerpt. This case is about Strategy