"Nestle Could Sell Water Business" by Jon Harris

"Nestle Could Sell Water Business" by Jon Harris

Expert Solution

Rahul Sunny answered 2 years ago

Acquisition Valuation Exercise: Nestle Candy Divestiture Situation: Nestle has decided to sell its Chocolate Division (Butterfinger,...

Acquisition Valuation Exercise: Nestle Candy Divestiture Situation: Nestle has decided to sell its Chocolate Division (Butterfinger, Baby Ruth and Nestle Crunch) to Ferrero, the Italia maker of Nutella. You are the Director of Corporate Development and have been asked to help set the price for the business. The division has provided you with a projection of their Base Case EBITDA forecast: 2019: $30M 2021: $38M 2023: $41M 2020: $35M 2022: $40M You estimate that the synergies to Ferrero,...

- Nestle was recently on the news this week for giving thousands of bottles of water...

- Nestle was recently on the news this week for giving thousands of bottles of water to its community for which it takes water from during the covid-19 crisis. Does this show social responsibility? Do you believe they may have an alter-motive to these acts?

Jon agrees to sell 5,000 units of vitamins to Dany. Dany operates a retail grocery store...

Jon agrees to sell 5,000 units of vitamins to Dany. Dany operates a retail grocery store and intends to sell the vitamins in her store. Jon doesn’t have any experience in medicine or chemistry and he just started making the vitamins using a formula he learned from a friend who is a chemist up North. This is Jon’s first sale; he is trying to get into the business of selling vitamins so he can quit his full time job as...

What is the Business Level Strategy (i.e. cost leader, differentiation, focus) of Nestle?

Does Nestle business units/divisions trade or exchange resources? Why? How?

How many strategic business units (SBUs) does Nestle have, and what are the SBUs?

how to sell business continuity issues

Jon Wayne is in the dessert making business. He produces two special “dessert boxes”: (1) Cherry...

Jon Wayne is in the dessert making business. He produces two special “dessert boxes”: (1) Cherry Pop and (2) Chocolate Lover. His operating expenses total $2,000 per week. Jon is supported by three staff members, who are each responsible for different parts of the dessert box production process. • Bobo is responsible for ingredient mixing; • Samuel is in charge of decorating the desserts; and • Nancy is the hardest worker of the three. She packages the desserts with great...

A sparkling-water distributor wants to make up 200 gal of sparkling water to sell for $5.00...

A sparkling-water distributor wants to make up 200 gal of sparkling water to sell for $5.00 per gallon. She wishes to mix three grades of water selling for $99.00, $22.00, and $4.50 per gallon, respectively. She must use twice as much of the $4.50 water as the $2.00, water. How many gallons of each should she use?

Water, Inc., expects to sell 3.7 million bottles of drinking water each year in perpetuity. This...

Water, Inc., expects to sell 3.7 million bottles of drinking water each year in perpetuity. This year each bottle will sell for $1.46 in real terms and will cost $.82 in real terms. Sales income and costs occur at year-end. Revenues will rise at a real rate of 1.8 percent annually, while real costs will rise at a real rate of .8 percent annually. The real discount rate is 5 percent. The corporate tax rate is 23 percent. What is...

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