Virtual Organization Strategy Paper

Huffman Trucking was established in 1936 and developed its crinkle lengthwise the eastern United States. They have recently expressed a desire to scatter the business and they are reviewing several options. This subject will provide a arise analysis on trio expansion strategies including the release of initial overt offerings, the acquisition of another firm, and a merger with another firm. Each avoidance will offer services and disadvantages, by contrasting the strengths, weaknesses, opportunities, and threats of each of the iii strategies, this paper will highlight why Huffman Trucking should sign away to merge with another firm in monastic order to expand its business. Initial Public offering (initial offering)An initial habitual offering occurs when a family releases stock to the mankind for the first magazine in the special market. Those shares are then made easy for trade in the secondary markets. Several advantages and disadvantages exist when a lodge r eleases an initial public offering (Keown, Martin, Petty, & Scott, 2005, p. 11). Huffman Trucking is privately held company till now. The SWOT analysis of expiry public by IPO is as follows:StrengthsThe offering of stocks to the public raises new jacket for the company. The new capital nominate be used to assign in the business for future growth and the owners of the firm can easily switch their shares to cash.

Owner diversification is also considered an advantage of going public through IPO (Venture associates, 2009, p. 1). WeaknessesOne of the major weaknesses of going public is exhalation of the person al benefits for the owners of the firm. The ! initial cost of IPO is high and is ongoing. For well-nigh 15% to 25% of capital embossed through IPO is spent on expenses related to the public offerings (Keown, Martin, Petty, & Scott, 2005, p. 413). subsequently the firm has gone public, the firm is mandatory to report sporadically to... If you want to get a safe essay, order it on our website: OrderCustomPaper.com

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