Term Paper Assignment
Length: 5 Pages.
INSTRUCTIONS
1) Term Papers should be approximately 5 pages in length (double-spaced), and should thoroughly cover the topic. The topics are intentionally open ended; giving the student some latitude to head in a direction which he/she feels is best. There is no one right approach, but the question posed should be answered.
2) Students should expect to research this topic.....the instructor will NOT provide any information or assistance. I personally believe you can find a fair amount of information on all topics via the Internet. Research should be documented with a "Sources Used" page at the back of the paper (not to be included in the 5 pages of text) is sufficient. Formal footnoting on each page is not required.
3) If I detect any plagiarism or non-original work, students failing to document their sources will be severely penalized grade-wise. Students obviously cannot work together on these papers since everyone has different topics....they are individual assignments. Some Term Papers will be run through a new plagiarism-detection product purchased by the Lerner College called "Turnitin".
4) A limited number of attachment pages may be added to the Term Paper, but they should not be used to replace the 5 pages of written text.
Analysis of Michael Kors Acquisition of Jimmy Choo
I. INTRODUCTION
a) Michael Kors
b) Jimmy Choo
II. OBJECTIVES OF ACQUISITION
a) Support the growth of Jimmy Choo through retail store openings and further development of its online presence (Ishihara & Zhang, 2017).
b) Expand Jimmy Choo's product offering within its existing categories, in particular handbags and small leather goods; and
c) Leverage the benefits of scale and capability that derive from being part of a larger family of brands.
III. CONDITIONS TO THE ACQUISITION
a) Approval of the Scheme by a majority in number of the Scheme Shareholders present and voting (and entitled to vote), representing not less than 75% in value of the Scheme Shares voted, either in person or by proxy, at the Court Meeting;
b) Approval of the Special Resolution at the General Meeting by the Jimmy Choo Shareholders by the requisite majority at the General Meeting;
c) Sanction of the Scheme by the Court and the registration of the Scheme Court Order with the Registrar of Companies; and
d) Receiving merger control clearance from the relevant antitrust authorities in the European Union and Russia.
IV. ACQISITION
a) Acquisition cost; $896
b) New cost of shares; $2.36 per share
c) Reasons for Acquisition
1) Brand support
2) Worldwide presence; present in 150 countries
3) Growth in sales from $364 million to $1billion
4) Exposure to international markets
d) Sources of funding
1) JPMorgan Chase
2) Goldman Sachs
e) Challenges of acquisition (Sun, 2018).
V. EXPECTED BENEFITS
a) Growth opportunity for Jimmy Choo sales to $1 billion
b) Balanced portfolio with greater product diversification(Kent at el., 2018)
c) An enhanced positioning in the attractive and growing luxury footwear segment
d) Further expansion in the luxury accessories market;
e) greater exposure to global markets,
VI. MICHAEL KORS OPERATION SEGMENTS
a) Retail; approximately 57.2% of total revenue and 827 retail stores across America, Europe and Asia
b) Wholesale: approximately 39.5% of total revenue andapproximately 1,604 department stores across America, Europe and Asia
c) Licensing: approximately 3.3% of total revenue and consists primarily of royalties earned on licensed products and geographic licenses.
VII. CONCLUSION
Format your assignment according to the following formatting requirements:
1. The answer should be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides.
2. The response also include a cover page containing the title of the assignment, the student's name, the course title, and the date. The cover page is not included in the required page length.
3. Also Include a reference page. The Citations and references should follow APA format. The reference page is not included in the required page length.