Study Guide

Objective

The student can describe the possibilities of business acquisition and assess possible directions of post-acquisition business development. The student can describe and analyse the key management issues and challenges of business acquisition. The student can draw up the requisite set of acquisition criteria and itemize challenges involved in conducted business acquisition negotiations. The student can describe the application of key valuation principles and comparatively assess the suitability of different modes of acquisition in a given situation.

Content

- Business takeover mindset: acquisition opportunities, phases of acquisitions, takeover versus start-up
- Management challenges in acquisition: self, process, business, staff
- Targets of acquisition: criteria, search, choice, negotiations, Due Diligence
- Valuation in business acquisition
- Modes of acquisition: asset deal versus transfer of stock, financing the acquisition

Materials

- PK-yrityksen omistajanvaihdosopas.
- Rantanen, J. (2012). Arvonmääritys yrityskaupassa. Suomen Yrittäjien Sypoint. (Painokset 1-3, 2012-2016)
- Tall, J., Sorama, K. & Varamäki, E. (2017). Omistajanvaihdoksen johtaminen maaseutuyrityksissä. (Luku 5) Seinäjoen ammattikorkeakoulu.
- Tall, J., Varamäki, E. & Petäjä, E. (2015). Ostokohteen liiketoiminnan haltuunotto ja integrointi: Yrityksen uudistuminen yrityskaupassa. Seinäjoen ammattikorkeakoulu.
- Petäjä, E., Kettunen, S., Tall, J. & Varamäki, E. (2015). Strateginen johtaminen yritysostoissa. Seinäjoen ammattikorkeakoulu.
- Other materials to be announced by the lecturer

Teaching methods

Lectures and case discussions, independent study, online assignments, portfolio

Employer connections

None.

Completion alternatives

None.

Student workload

Total of 135 hours, consisting of:
- contact teaching 20 h,
- online assignments 30 h
- literature 45 h
- reflection and portfolio 40 h

Evaluation scale

1-5

Assessment criteria, satisfactory (1)

The student’s outputs demonstrate the ability to
- describe possibilities offered by the acquisition of an SME and assess the potential for further development after acquisition.
- describe and analyse key management challenges of SME acquisitions.
- draw out a context-appropriate set of acquisition criteria and utilize it planning search for an acquisition target.
- specify challenges connected with acquisition negotiations.
- describe the application of some key valuation principles and compare the suitability of modes of acquisition in some settings

Assessment criteria, good (3)

The student’s outputs demonstrate
- good ability to describe possibilities offered by the acquisition of an SME and to assess the potential for further development after the acquisition, providing justification as well.
- ability to describe and analyse key management challenges of SME acquisitions from different perspectives.
- ability to draw out a context-appropriate set of acquisition criteria with justification and utilize it in a grounded plan of the search for an acquisition target.
- ability to analyse challenges connected with acquisition negotiations.
- ability to describe application key valuation principles and compare with justification the suitability of modes of acquisition in some settings.

Assessment criteria, excellent (5)

The student’s outputs demonstrate
- ability to describe a wide range of possibilities offered by acquisition of an SME and to assess potential for further development after acquisition, with justification, from different perspectives
- excellent ability to describe and analyse key management challenges of SME acquisitions from different perspectives.
- ability to draw out a context-appropriate, multifaceted set of acquisition criteria with justification and utilize it in an insightful plan of search for acquisition target.
- ability to provide a multifaceted and comprehensive analysis of challenges connected with acquisition negotiations.
- ability to describe the application of all key valuation principles and compare with justification the suitability of modes of acquisition in given settings.

Assessment methods and criteria

Porfolio 100 %