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DuPont al Affiliation DuPont What benefits has DuPont gained from its pattern of acquisitions? Administratively? Technically? Product? Process? DuPont has gained immense benefits from its pattern of acquisitions, ranging from developing core competencies in different facets of operations of the ventures the organization has acquired to gaining market shares in different fields of discipline (Grow through Acquisition, n.d.; Blank, 2014). From an administrative perspective, the pattern of acquisitions provided opportunities for professional growth in terms of acknowledging the need to gain appropriate knowledge, abilities, and skills in operating newly acquired organizations which offer diverse products or services.
As such, they should have a wealth of competent and qualified set of human resources who could undertake roles and responsibilities which cater to the diverse needs and demands of the organization. On the other hand, in terms of technical competencies, the acquisitions of organizations, especially from diverse fields of discipline, enable DuPont to develop technological competencies, applications, human resources, infrastructure, and skill set to fit currently entrenched technology to match the newly acquired organizations.
In addition, when new products have been added to their product lines, DuPont benefits through the opportunity of catering to a wide range of clientele, depending on the products or services offered, the geographic location, as well as the competitive advantage exhibited over their competitors. Gaining organizations with different product lines necessitate additional research to be undertaken by the executive management team of DuPont to ensure that they are qualified and competent to operate new businesses and develop strategies accordingly.
Finally, the pattern of acquisitions has enabled DuPont to structure their organization’s process according to a business model that would integrate various organizations that were purchased and monitored their respective contributions to DuPont’s financial performance. Overall, DuPont has gained internal expertise and professional growth in a wide range of discipline from the pattern of acquisitions.2. Besides the potential benefits discussed, what else did DuPont probably gain? Are there potential losses it should guard against?
Besides the potential benefits discussed, one strongly believes that DuPont probably gained maturity in discerning which ventures and acquisitions contributed most to meeting the organization’s mission, vision, and goals. The organization, through its executive management team and leaders, probably gained exemplary acumen in determining which ventures would be most lucrative in providing financial gains with the amounts that are to be invested in each endeavor.There are potential losses in terms of opportunity losses where the organization could have pursued some ventures that proved to be unprofitable or those which significantly mismatch their current organizational thrusts and directions.
As such, instead of focusing on areas, fields of discipline, or core competencies on currently held and evidently productive ventures, the time, resources, and efforts spent locating other pursuits, which turn out later to be unproductive, are considered opportunity losses for DuPont. At times, pursuing endeavors with diversely different products, services, or in different sectors and industries could be draining financially in the organization’s resources. They have to undertake extensive amounts of time, efforts, resources, and skills to evaluate the viability of undertaking prospective acquisitions in the light of uncertainties in the external environment.
Therefore, the organization must be able to balance the risks and the potential returns to be gained from their patterns of acquisitions.ReferencesBlank, C. (2014). The Advantages & Disadvantages of the Acquisition of Another Company in the Same Industry. Retrieved from smallbusiness.chron.com: http://smallbusiness.chron.com/advantages-disadvantages-acquisition-another-company-same-industry-31362.htmlGrow through Acquisition. (n.d.). Retrieved from strategic-acquisitions.com: http://www.strategic-acquisitions.com/assay.html#ctfsWhite, M.
, & Bruton, G. (2011). The Management of Technology and Innovation: A Strategic Approach. South Western Cengage Learning.
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