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Lack of Access to fresh, healthy, and affordable Food (Food Desert)

                                                                    Food Desert (Gettysburg, 2014) Ibrahim Saeed Mohammed Saif (TP076440) Farming food locally is therefore a viable and efficient way of feeding people around the globe especially in food desert areas. It empowers the people to engage in farming by developing and supporting concept of community gardening and urban gardening (Kaiser 2011). This not only helps to ensure that the community has access to the essential nutrients in the food which is very important but also ensures that the community has ownership and thus whenever they get involved in the production of food they do so willingly and not out of force.   Also, supporting farmers and local food by buying’s including farmers markets and direct to consumer programs helps residents access fr...
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Business Dynamics: Culture and Investments


Productivity and performance
























 

References:






MAHMOOD MOHAMMED ALI QAID

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One of the most recent high-profile mergers and acquisitions of a startup was an acquisition of WhatsApp by Facebook, for $19 billion in 2014, which remains contentious to this date as to whether or not it was a good idea and whether it was an overpayment on the part of the acquirer. At the time, WhatsApp generated minimal revenue, which made the valuation appear excessively high when assessed purely on financial performance (Forbes, 2014). This difference prompted many people to wonder why such a high price is being charged as they seem not to be able to justify the high costs. 
 
However, opposed to the strategic value, it seems that the game changing propulsive force of the WhatsApp was much more far reach than simply its finances. The platform boasted a vast user base with high engagement rates, crucial for Facebook's strategy to expand its global reach, particularly in emerging markets (The Wall Street Journal, 2014). The above user base enjoyed immense long term value to Facebook bearing in mind that the social site sought to assimilate as many integrations of users as possible into its realm. 
 
Moreover, the case is that with the acquisition of WhatsApp Facebook got hold of a crucial competitive advantage. The deal effectively prevented rivals like Google from seizing control of a rapidly growing messaging platform, thus safeguarding Facebook's dominance in social communication (Harvard Business Review, 2014). By securing WhatsApp, Facebook not only bolstered its position but also preemptively mitigated potential threats from competitors (TechCrunch, 2014). 
 
Therefore, even though research based on simple financial factors would reveal overpayment for the acquisition, the benefits and future prospects of the investment were justified by the strategic factors for Facebook. 
 

References:
Olson, P. (2014, March 5). Inside the Facebook-WhatsApp megadeal: the courtship, the secret meetings, the $19 billion poker game. Forbes. https://www.forbes.com/sites/parmyolson/2014/03/04/inside-the-facebook-whatsapp-megadeal-the-courtship-the-secret-meetings-the-19-billion-poker-game/

Albergotti, R., MacMillan, D., & Rusli, E. M. (2014, February 20). Facebook to buy WhatsApp for $19 billion. WSJ. https://www.wsj.com/articles/facebook-to-buy-whatsapp-for-16-billion-1392847766


Constine, J., & Cutler, K. (2014, February 20). Why Facebook dropped $19B on WhatsApp: Reach into Europe, emerging markets. TechCrunch. https://techcrunch.com/2014/02/19/facebook-whatsapp/



Sohaib Najib Wazea Aboosbua

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 Recently Facebook’s acquisition of WhatsApp for $19 billion in 2014 was a shocking activity to many people and thus, created a debate on whether Facebook overpaid. Thus, there are several strategic rationalizations for this hefty investment.
First, data and integration potential acted as the determinative factors. WhatsApp allowed Facebook to harvest a lot of information from a customer base that was not present on Facebook’s other social media platforms. This data integration helped as Facebook adopted aspects of user interaction from WhatsApp that would effectively allow for an improvement of the overall experience of the users on the several services that the company offers. (Conti & Maggioni, 2014).
Secondly, there was a vast possibility of the expansion of WhatsApp. When the acquisition was made WhatsApp had been growing at an exponential rate of users and was headed to even better positions. This growth pointed to the possibility of other sources of monetization like payments and business communication which is a domain where WhatsApp could play well (Iqbal, 2021).
Finally, the price factor offered the feel of the market concerning the company and the investors’ confidence in their investment. This deal showed that the market approved of Facebook’s management plans for taking and growing new opportunities (Kharpal, 2014; McGee, 2014). 

 References:

Conti, R., & Maggioni, M. A. (2014). Facebook’s acquisition of WhatsApp: Successful business model or overpaid asset? Journal of Internet Banking and Commerce, 19(3), 1-10.

Iqbal, M. (2021). WhatsApp revenue and usage statistics (2021). Business of Apps. Retrieved from https://www.businessofapps.com/data/whatsapp-statistics/

McGee, M. (2014, February 19). Facebook's $19 billion acquisition of WhatsApp will support core business, analysts say. Marketing Land. Retrieved from https://marketingland.com/facebooks-19-billion-acquisition-whatsapp-will-support-core-business-analysts-say-74477

  




      MUBARAK ALI MUBARAK AL ZAMAL(TP078797

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Challenges of Bringing in New Investors

Bringing in new investors presents several significant challenges that can impact a company’s strategic and operational dynamics.

Aligning Interests Aligning the interests of new investors with existing stakeholders is crucial. Investors often have specific expectations regarding returns, growth, and governance, which may conflict with the company’s existing goals or strategies. Ensuring a shared vision and mutual understanding is essential to avoid conflicts (Kaplan & Strömberg, 2004).
 Valuation Disagreements Valuation disagreements are common when attracting new investors. Founders might perceive the company’s worth differently than potential investors. Achieving an agreeable valuation requires transparent financial reporting and realistic growth projections (Damodaran, 2012).
Dilution of Control New investments often result in the dilution of existing ownership stakes, potentially leading to a loss of control for original founders or early investors. Balancing the benefits of additional capital with the potential downsides of reduced control is critical (Gompers & Lerner, 2001).

Cultural Fit Integrating new investors into the company culture can be challenging. Investors bring not only capital but also their own ideas and management styles. Ensuring cultural alignment is essential to maintain operational harmony and employee morale (Schein, 2010).

Conclusion Addressing these challenges requires careful planning, transparent communication, and strategic negotiation to ensure that new investments benefit the company without disrupting its core values and operations.


References: 

Damodaran, A. (2012). Investment Valuation: Tools and Techniques for Determining the Value of Any Asset. John Wiley & Sons. https://www.wiley.com

Gompers, P., & Lerner, J. (2001). The Money of Invention: How Venture Capital Creates New Wealth. Harvard Business School Press. https://www.hbs.edu

Kaplan, S. N., & Strömberg, P. (2004). Characteristics, contracts, and actions: Evidence from venture capitalist analyses. Journal of Finance. https://www.jstor.org/stable/10.2307/3694766

Schein, E. H. (2010). Organizational Culture and Leadership. Jossey-Bass. https://www.wiley.com

 








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