Nestle Alcon Case
Nestlé-Alcon Case Study
Karol M. Klimczak
Introduction
Transactions between stock-listed companies allow us to verify our calculations of value. In this assignment you have the opportunity to use the skills and methods you learned in Value Based
Management in a real company setting. This is an open-ended case study: there is a range of possible approaches to solving it, and all of them can be “right”. What is essential is that you use the calculations to substantiate your solution, make a good argument using your own results.
The Assignment
General guidelines
Prepare your solution to this case in the form of a 5-page report, accompanied by an Excel or
Scalc spreadsheet with relevant calculations. When writing the report, assume that the intended audience is the budget committee of Nestlé's major competitor which finds itself in a similar situation right now. It is considering whether it is better to spin-off non-core segments, as Nestlé did. The board is highly interested in learning from the Nestlé-Alcon case. Make sure that your report is concise and to the point. The crucial challenge for you is to provide conclusions substantiated with concrete, analytical results. You may structure the report any way you like, as long as all the issues outlined below are covered.
In contrast to the report, the attached excel file must contain clear references to the questions below. Make sure that the teacher can easily find out how your arrived at the numbers which you present in the report as evidence for your case. In a separate sheet provide all the data you used.
Remember that you are solving this case as part of your Value Based Management course.
This means that the main objective of this task is for you to master the use of methods that were covered in the course. The second objective is for you to learn how to make an argument supported with the results of your analysis. It is crucial that all of your claims are supported by numbers. You
may
Karol M. Klimczak
Introduction
Transactions between stock-listed companies allow us to verify our calculations of value. In this assignment you have the opportunity to use the skills and methods you learned in Value Based
Management in a real company setting. This is an open-ended case study: there is a range of possible approaches to solving it, and all of them can be “right”. What is essential is that you use the calculations to substantiate your solution, make a good argument using your own results.
The Assignment
General guidelines
Prepare your solution to this case in the form of a 5-page report, accompanied by an Excel or
Scalc spreadsheet with relevant calculations. When writing the report, assume that the intended audience is the budget committee of Nestlé's major competitor which finds itself in a similar situation right now. It is considering whether it is better to spin-off non-core segments, as Nestlé did. The board is highly interested in learning from the Nestlé-Alcon case. Make sure that your report is concise and to the point. The crucial challenge for you is to provide conclusions substantiated with concrete, analytical results. You may structure the report any way you like, as long as all the issues outlined below are covered.
In contrast to the report, the attached excel file must contain clear references to the questions below. Make sure that the teacher can easily find out how your arrived at the numbers which you present in the report as evidence for your case. In a separate sheet provide all the data you used.
Remember that you are solving this case as part of your Value Based Management course.
This means that the main objective of this task is for you to master the use of methods that were covered in the course. The second objective is for you to learn how to make an argument supported with the results of your analysis. It is crucial that all of your claims are supported by numbers. You
may