SKU: 60733486238

The Synergy Trap

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Description

The Synergy TrapWith acquisition activity running into the trillions of dollars, the acquisition alternative continues to be the favorite corporate growth strategy of this generation's executives. Unfortunately, creating shareholder value remains the most elusive outcome of these corporate strategies. After decades of research and billions of dollars paid in advisory fees, why do these major decisions continue to destroy value? Building on his groundbreaking research

With acquisition activity running into the trillions of dollars, the acquisition alternative continues to be the favorite corporate growth strategy of this generation's executives. Unfortunately, creating shareholder value remains the most elusive outcome of these corporate strategies. After decades of research and billions of dollars paid in advisory fees, why do these major decisions continue to destroy value?

Building on his groundbreaking research first cited in Business Week, Mark L. Sirower explains how companies often pay too much -- and predictably never realize the promises of increased performance and competitiveness -- in their quest to acquire other companies. Armed with extensive evidence, Sirower destroys the popular notion that the acquisition premium represents potential value. He provides the first formal and functional definition for synergy -- the specific increases in performance beyond those already expected for companies to achieve independently. Sirower's refreshing nuts-and-bolts analysis of the fundamentals behind acquisition performance cuts sharply through the existing folklore surrounding failed acquisitions, such as lack of "strategic fit" or corporate culture problems, and gives managers the tools to avoid predictable losses in acquisition decisions.

Using several detailed examples of recent major acquisitions and through his masterful integration and extension of techniques from finance and business strategy, Sirower reveals:


  • The unique business gamble that acquisitions represent
  • The managerial challenges already embedded in current stock prices
  • The competitive conditions that must be met and the organizational cornerstones that must be in place for any possibility of synergy
  • The precise Required Performance Improvements (RPIs) implicitly embedded in acquisition premiums and the reasons why these RPIs normally dwarf realistic performance gains
  • The seductiveness and danger of sophisticated valuation models so often used by advisers

The Synergy Trap is the first expos of its kind to prove that the tendency of managers to succumb to the "up the ante" philosophy in acquisitions often leads to disastrous ends for their shareholders. Sirower shows that companies must meticulously plan -- and account for huge uncertainties -- before deciding to enter the acquisition game. To date, Sirower's work is the most comprehensive and rigorous, yet practical, analysis of the drivers of acquisition performance. This definitive book will become required reading for managers, corporate directors, consultants, investors, bankers, and academics involved in the mergers and acquisitions arena.

Binding Type: Paperback
Publisher: Free Press
Published: 10/26/2007
ISBN: 9781416584650
Pages: 304
Weight: 1.00lbs
Size: 9.02h x 5.98w x 0.69d
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SKU: 60733486238

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DZ
Charlottesville, US
★★★★★ 4
Mostly happy
Color: Grape
Have a 1 1/2 yr old Belgian Malinois who needs things to do. I bought these and he loved it. Bad thing, it took him 1 day to chew the rope off both grape and pineapple. The stems on the cherry were also chewed off. The rest of the toy is intact and he still loves it.
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Reviewed in the United States on May 14, 2026
M
Verified Purchase
Marcie Greer
Draper, US
★★★★★ 5
Very durable!
Color: Cherries
Pups love it.
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Reviewed in the United States on May 30, 2026
M
Verified Purchase
Mrs. H.
Carnegie, US
★★★★★ 3
Came apart.
Color: Cherries
We were playing with it and the green part pulled off of the red part. I'm pretty sure that is not supposed to happen. I took the green part away from the dog because that part is too small for my pup to play with. But we continue to play with the red part. My dog likes the texture and the bounciness.
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Reviewed in the United States on February 26, 2026
N
Verified Purchase
Navigator65
Boise, US
★★★★★ 1
Caution - handle comes off!
Color: Cherries
I really liked this toy when I opened package--our dog liked as well! Until a short time ago when I saw her chewing on the green "stem"! The stem had come apart from the main cherries. This is a small enough part that I think she or any bigger dog could choke on. Our dog is a small lab. Would not recommend buying.
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Reviewed in the United States on February 23, 2026
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Verified Purchase
Amazon Customer
Natrona Heights, US
★★★★★ 5
Sturdy
Color: Bear
Good for dogs that like to chew. Smells like blue raspberry and I was not expecting that
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Reviewed in the United States on June 5, 2026

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