Yahoo drags, Ballmer irked
“It has now been more than two months since we made our proposal to acquire Yahoo! at a 62% premium to its closing price on January 31, 2008, the day prior to our announcement. Our goal in making such a generous offer was to create the basis for a speedy and ultimately friendly transaction. Despite this, the pace of the last two months has been anything but speedy.”
t seems that Steve Ballmer is showing his claws as Microsoft loses its patiences with Yahoo. April 26, 2008 is the day we will all be waiting for. If Yahoo has not answered (favorably), Microsoft will take its offer to the shareholders at what I would guess would be a reduced purchase price. For Yahoo, I am still curious as to why they think they can hold out for better? They were not doing doing well before the offer nor were they strategically placed to challenge Google. This Microsoft bid was the best thing that might have happened for the board, who will be able to leave semi-gracefully, before getting clobbered further by their competition.
What I am sure has become a major concern for Microsoft is the new anti-monopoly law being put into place by Beijing. Yahoo is quite invested in Alibaba and since a major factor behind the Microsoft/Yahoo merger is the Chinese Market, I wouldn't be surprised to hear further aggressive statements coming from Microsoft, as they work to complete this merger expediently.
The end of 1 year multiple entry visas to China?
I received a call today from a friend in HK complaining about the new regulations being imposed on foreign businessmen in China. He read an article stating that 1 year, multiple entry visas would no longer be issued. Aside from being a major revenue boost for China, it also minimizes the number of foreigners that enter the country (they have been at this for a few years). This is going to hit a lot of businesses, specifically the small and mid sized entrepreneurs. Business in todays world necessitates travel. China requires a greater attention to relationship building than most. I am sure many of us old China hands have our own little stories of how weak local relationships have led to missing shipments, delayed licenses and similar “irritations.” Worded in a more direct manner-- you want to do business on the mainland, you make sure you are there to eat and drink with the local government, sing songs with the company management, and pace the floors with the factory workers, or you may be in for quite a ride. Guanxi and restricted visas do not go well together.