Acquisitions and Firm Growth: Creating Unilever's Ice Cream and Tea Business

G.  Jones; Peter  Miskell

Article | Business History | January 2007

Acquisitions and Firm Growth: Creating Unilever's Ice Cream and Tea Business

by G. Jones and Peter Miskell

Abstract

This article provides a longitudinal case study of the use of acquisitions by the Anglo-Dutch multinational Unilever to build the world's largest ice cream and tea businesses. The study supports recent resource-based theory which argues that complementary rather than related acquisitions add value. It identifies the importance of local knowledge as a key complementary asset. The article also identifes reasons why Unilever was able to integrate acquisitions quite successfully, including clear strategic intent and the fact that employee resistance was reduced because most acquisitions were agreed. Unilever also took a long-term view because of its size, and relative inconcern for shareholder interests before the 1980s.

Keywords: Mergers and Acquisitions; Integration; Value; Knowledge Use and Leverage; Business and Shareholder Relations; Interests; Business Ventures; Employees; Food and Beverage Industry;

Format: Print

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Citation:

Jones, G., and Peter Miskell. "Acquisitions and Firm Growth: Creating Unilever's Ice Cream and Tea Business." Business History 49, no. 1 (January 2007).

Recent years have seen an increasing interest in the use of history and historical research methods in strategy research. This article discusses how and why history and historical research methods can enrich theoretical explanations of strategy phenomena. The article also introduces the notions of "history-informed strategy research" distinguishing between the dimensions of "history to theory" and "history in theory" and discussing under-utilized methods that may further work on history-informed strategy research. The article discusses how contemporary research contributes to history-informed research within the strategy field, examines key methodological and empirical challenges associated with such research, and develops an agenda for future research.

Case | HBS Case Collection | July 2015 (Revised January 2020)

Horst Dassler, Adidas, and the Commercialization of Sport

Geoffrey Jones, Michael Norris and Sophi Kim

The case focuses on the career of Horst Dassler, the son of the founder of the German-based sports shoe manufacturer Adidas. The origins of the firm were in the interwar years, and it rose to public prominence after it provided spikes for Jesse Owens, the famous African-American sprinter, in the 1936 Berlin Olympics. From the 1950s Horst cultivated relationships with athletes and national associations to expand his sports apparel business and develop sports sponsorship, competing fiercely against competitors such as Puma and Nike. During the 1970s he played a key role in commercializing the international soccer federation FIFA, including creating a television market for soccer, and he subsequently became a key force behind arranging sponsorships and broadcasting rights for the Olympics. The case explores the drivers of success of this major consumer brand and provides the opportunity to discuss the positives and negatives of the globalization and commercialization of sport.

Keywords: corruption; Economic History; business history; entertainment; business; strategy; media; Sports; Digital technology; blockbuster; superstar; film; television; music; publishing; performing arts; nightlife; Crime and Corruption; Entrepreneurship; Globalization; History; Sports; Apparel and Accessories Industry; Consumer Products Industry; Fashion Industry; Sports Industry; Germany; South America; Europe; Asia; North and Central America;

Citation:

Jones, Geoffrey, Michael Norris, and Sophi Kim. "Horst Dassler, Adidas, and the Commercialization of Sport." Harvard Business School Case 316-007, July 2015. (Revised January 2020.) View Details

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The case examines the entrepreneurial career of Rupert Murdoch and the growth of News Corporation from a small Australian newspaper to a global media giant. It shows how he expanded geographically to Europe, the United States, and Asia and from newspapers to the film and television industries. The case identifies the personal role of Murdoch in this growth and the role of his family in its management. The case considers the political impact of News Corporation's newspapers and other media and their alleged role in shaping political opinion.

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Acquisitions and Firm Growth: Creating Unilever's Ice Cream and Tea Business

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