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Chapter 7

2.4 Rationales for adding value

 Synergy manager – hunts for synergies so that both the parent and the SBU are
better off.

 Portfolio manager – hunts for underperforming and undervalued SBUs which
can be turned around and sold for a profit.

 Parental developers – aims to provide the resources and skills missing in a SBU
in order to improve its performance.

2.5 How to destroy value

 Imposing high admin costs

 Adding extra levels of bureaucracy

 Adding extra elements of complexity.

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