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What’s Behind the Endless Breakup-Merger Cycle?
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Knowledge at Wharton
In 2012, Kraft separated its North American grocery business from its booming global snacks business.
The snacks company became Mondelez, while Kraft merged with Heinz in 2015.
The breakup-merger cycle isn’t limited to consumer packaged goods.
The speed of the breakup-merger cycle also isn’t surprising, she said, because research shows that it takes an average of seven years for companies to divest a failed acquisition.
The acquisition helps Ferrero, maker of globally popular Nutella spread, gain even wider access to U.S. consumers.
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