Research Journal of Business and Economic Management

There is no denying the fact that businesses have evolved due to globalization and technological advancements. Many organizations are therefore confronted with increasing levels of challenges in the business world. As a result, companies must develop strategic plans not just for their sustainability, but also an expansion of their consumer base as well as increase their competitiveness and profitability. Business expansion through mergers and acquisitions is one of such innovative strategies developed by companies to remain competitive. Many companies are now exploring this approach as the strategic choice that can enhance the growth and survival of their organizations. This paper presents the analysis case study of the acquisition of Weetabix by Post Holdings and discusses the strategic position of the company, evaluating their key stakeholders, giving analyses of the external factors driving this strategy as well as the industry factors impacting the strategical approach utilized. The strategic position of the company was determined using Porter’s generic strategy and Bowman’s strategy clock indicating the differentiation leadership and clock position 4 - differentiation strategy respectively based on perceived added value of their products. Power-interest grid developed confirmed that Post Holdings, with the highest shares, exhibit the highest influence in matters relating to the acquisition and decision-making process. An external analysis, in the form of a PESTLE strategic framework, was conducted to identify factors that could possibly obstruct the smooth running of the business. Finally, the internal analysis examines the degree of Post Holdings/Weetabix’s competitiveness using Porter’s five forces.