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Old 05-31-2018, 02:37 PM   #10
BandB
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City: Fort Lauderdale. Florida, USA
Join Date: Jan 2014
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I've seen very few as detailed and transparent business statements post-acquisition as that one. Many acquire companies and think somehow all they need is a little tweak. They recognized some fundamental things wrong with how they were running the company. Pricing will continue to be an issue but allowing more decisions at the store or regional level will be a big help. They recognized the need for more inventory and for more staffing of the stores.

One of the hardest things in an acquisition is those who don't want to change. People don't understand that the reason they were sold is that they were a broken company. I'm sure their corporate office is filled with anxiety. However, his point about sacrificing some jobs there to try to save jobs throughout the company was very valid. I'm glad to see someone interested in the hundreds working in the stores vs the few in the corporate office.

One of the few times I've seen private equity/venture capital companies be honest with their plan. It is scary knowing your employer is going to be resold and just wondering when and to whom. However, having owners who want to improve the company to be able to sell it for more than they paid is good. I always worked for a buy and hold type company so operating a business like that is a bit foreign to me. In big business, it's often very negative and selling off pieces and stripping it down and other things. However, in smaller businesses (and West Marine is smaller compared to some of the huge acquisitions) it often saves the company. I think Platinum did a good job with their marine group. All survived and well. I look at Versa's acquisition of Hatteras. Hatteras has prospered under them and a far healthier company than what Brunswick sold them. Unfortunately Cabo was killed.

I'm hopeful for West Marine. No guarantees but I strongly believe it's possible to have a successful West Marine in the Amazon World. I've never been a Walmart fan but see some of their moves and they're thriving as a result.

Maybe Monomoy should buy Sears and JC Penney. Clearly they don't know how to build anything, just survive another day.
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