Business 8th Edition by Marianne Jennings

تمرين 8

More Than a Book Offering
Simon Simon, Inc. (SSI), is a Fortune 500 company primarily-involved in publishing magazines and fiction and non-fiction popular press. Like other publishing firms, SSI has been interested in expansion through the acquisition of publishing firms or companies with a multimedia focus. Its shares are listed on the New York Stock Exchange.
SSI has been approached by University Press (UP), a small but successful publishing house with a focus on academic and research-oriented books that would like to sell its assets (physical as well as titles [copyrights]) to SSI. UP is a national company that markets largely through direct mailings and whose stock is sold on the over-the-counter market. SSI has its own bookstores in malls, downtown city centers, and a few strip malls. It releases approximately 30 major fiction titles (excluding its romance novel line) and 20 major nonfiction titles each year. Other releases include children's books, cookbooks, "how to" books, coffee table (art) books, and several college and test-preparation guides. These types of releases total 100 per year. UP releases 25 new books each year, but it is in the unique position of having some of its titles continue selling long after the usual six-month hard-cover life of popular press books.
UP's board authorized its CEO to approach SSI. SSI's board heard the proposal for the first time yesterday. SSI's CEO told them, "We should act quickly The price is right." Another board member asked, "Aren't there some legal issues here? Can we act this quickly?"
Prepare a memorandum for the SSI board and also for the UP board outlining all the legal issues, including corporate, antitrust, and securities issues.