Tuesday, September 29, 2015

When 2 is better than 1

This article reports that Alcoa is splitting into two companies.

  1. Would a breakup  be more or less likely when economies of scope are significant? 
  2. Would a breakup be more or less likely when both companies serve the same customers?
  3. Would a breakup be more or less likely when both companies have similar strategies?
Organizational structure

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