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Legal Advice for Dell Inc Acquisition Plan

Autor:   •  March 5, 2013  •  Case Study  •  1,270 Words (6 Pages)  •  1,071 Views

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Legal Advice for Dell Inc Acquisition Plan:

Name: ROB

Professor:

Course Title: LEG 100 Business Law I

Date: 24 August 2012

Legal Advice for Dell Inc Acquisition Plan

Introduction

Most companies undertake frequent initiatives which aim at meeting their set objectives. However, these initiatives are subject to some administrative laws depending on the type of the initiative and the type of the business. The administrative laws are crucial and failure to comply with them may have an impact to the business. The laws are normally established by the federal or state government and are meant to govern the activities of companies and other bodies. This paper explains the relevant administrative laws that would be applicable to the acquisition initiative by Dell Inc which is planned to take effect in the next five years.

Description of the Company and the Initiative

Dell Inc is an international company incorporated in US with its headquarters in Round Rock Texas. The company operates in the personal computers industry and mainly manufactures and sells personal computers and software to the US and international market. The company is one of the leading technology companies in the US and across the globe. Dell Inc has developed from a hardware technology company to include software manufacturing for both commercial and personal use. The company is well known by its customers because of its focus on their needs. It manufactures customized personal computers and selling through direct business method. Most of its hardware is manufactured outside its premises where the costs are low such as in China.

Over the past years, the company has developed numerous initiatives to help boost its operations and increase sales as well as improve its product development. Such improvements have assisted the company to improve its performance both at local and international level. Recently, the company’s software development president, John Swainson, announced that one of the company 2012/2015 business plan initiative is to acquire a software company to help increase its software assets. According to the president, Dell is intensively involved in developing software and the acquisition would very important to aid in this task. The initiative plans to acquire Quest Software which deals with software for management and monitoring in businesses. By acquiring this company, Dell is hoping to achieve higher ability to manufacture software products in its current capacity (Dell Inc, 2012). The software will also enhance storage of data and especially large volume data with high security.

According to the company, the synergy of the acquisition

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