The Strategic Analysis of Conseco Inc.

Conseco Inc. Conseco was incorporated in 1979 as a life redress holding company, with the sole telephone circuit activity of training capital. It has with child(p) over time to become one of the leading sources of insurance, investment, and distort products in the United States. Conseco has approximately $95 billion in managed assets, 13 million nodes, and 14,500 employees. The firm is ranked 231 on the give out 500 list, with revenues of $8.3 billion in 2000. This case not testament answer four questions pertaining to Conseco Inc. 1. Conseco management emphasizes a strategy of ontogeny by acquisitions for the first 20 years of the companys life. Critique this approach, point the advantages and disadvantages associated with this strategy? Advantages A. Increase Market Share Through acquisitions, Conseco tush gain great market share very quickly. Acquisitions of other(a) companies has expanded Consecos business into other geographical locations. For exa mple, Codelinks a accessory of Conseco, is groupd in India, given them the opportunities to do business there. Acquisitions strenghthens their market stake and offers unseasoned opportunities for competitive advantage. B. Increase Customer and Sales Acquisitions increases a companies customer base and sales. When Conseco acquired park Tree, it believed coarse cross-selling opportunities existed between entities. Conseco could tease into Green Trees extensive customer database with a full course of instruction of insurance products, freshly business sales would surely improvement.

Also, Green Tree finance products would be compatible with Consecos, so they would benefit from their customers. Acquisitions increases a c! ompanies customer base and sales. C. Increases Technology/ Reduces Costs When a new company is acquired, engineering science and information is combined. unite operations with a rival can fill choice gaps, allowing the company to do things, which the prior companies couldnt do alone. Also, a unafraid acquisition may offer healthy cost-saving opportunities. For example, Codelinks provided Conseco with... If you want to bum a full essay, order it on our website: OrderEssay.net

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