540/Lester Electronics Inc. Benchmarking

Essay by tpurifoyUniversity, Master's December 2008

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�PAGE �1� �PAGE �4� Lester Electronics Inc.

Lester Electronics Inc. Benchmarking

Stuart Palmer, Todd Summers, Jarred Turner,

Tabitha Purifoy

University of Phoenix


Maximizing Shareholder Wealth

Bill Stokes

October 2, 2008�

Lester Electronics Inc. Benchmarking

Corporate giants face unprecedented challenges on a domestic level, but those challenges are amplified when entering the status on an international level. The authors will show that when faced with dilemmas, the companies and stakeholders can suffer. On the other hand when there is leadership with a purpose, companies and stakeholders prosper by effectively maximizing shareholder wealth. The purpose of this paper is to provide benchmarking data in order to identify companies experiencing issues similar to Lester Electronics Inc. The authors conducted research on 8 companies and using the benchmarked companies, they will identify challenges they have faced and how they overcame them. The authors hope to apply the data to Lester Electronics Inc. in hopes of providing the company with potential solutions.

Issue: Cross-border growth strategies

Wal-Mart Stores and Costco Wholesale both have experienced cultural and business challenges but they have been successful because the companies attempt to understand and adapt to local cultures. Management uses its strong leadership and its top products to lead the way. The prospective melding of different country cultures in a cross-border deal can easily compound the uncertainty employees experience in any merger, and must be addressed in a proactive manner. Along with the political and legal environments, companies doing business globally must be aware of the economic environment as well. This will assist with the various laws and rules and regulations for conducting business.

Leading an extensive integration effort in a foreign environment remains one of the biggest challenges in cross-border acquisitions. Stress and uncertainty can be particularly problematic in cross-border deals and inattention to sensitive issues may...