Problem: A recent merger of note is that of Hewlett Packard and Compaq Computers. When the merger was announced, it was widely criticized as not making 'economic sense.' Use the material in managerial economics to analyze the reasons for and against the merger, and to assess the performance of the consolidated company since its completion.
The merger continues to be in the news, and most recently the CEO of the merged company, Carly Fiorina, was relieved of her duties on February 9, 2005.