Mergers and acquisitions expert

How To Evaluate M&A Deals?

By Sebastian Amieva

The smartest way is through the Porter's 5 forces.

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This analysis aims to establish how attractive a deal is for a buyer. 

This is one of the most commonly spoken of management model. There is no management course in the world that doesn’t delve into Porter's five forces analysis. It is the foundation of every strategy class. This model was introduced by Michael Porter way back in 1979. Porter’s five forces analysis is probably the first step for any entrepreneur to figure out if he wants to enter a certain line of business or not. This framework analyzes the attractiveness of a certain industry based on 5 parameters –

·         Barriers to entry

·         Buyer Power

·         Supplier Power

·         Threat of substitutes

·         Competitive rivalry 

Sebastian Amieva

M&A Expert - Investor - Global Citizen 

mergers and acquisitions consultant