Mc Donalds

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A. What tactics did the activist investor William Ackman (Pershing Capital) pursue in his campaigns against Wendy's and McDonalds? Briefly describe each tactic used and the way in which each tactic might help Ackman to achieve his goals. What other tactics could Ackman have employed to achieve his goals?

B. What did Ackman ultimately hope to achieve through his activism? What role, if any, did corporate governance issues play in Ackman's activist campaigns?

C. With the benefit of hindsight, describe the alternative tactics that McDonalds' management could have pursued in response to Ackman's display of activism? Would it have been possible for McDonalds' management to maintain its resistance at any cost?

D. In you view, who emerged as the 'winner' in this activist standoff between Ackman and McDonalds? Explain why (supplying evidence in support of your arguments).

A. What tactics did the activist investor William Ackman (Pershing Capital) pursue in his campaigns against Wendy's and McDonalds? Briefly describe each tactic used and the way in which each tactic might help Ackman to achieve his goals. What other tactics could Ackman have employed to achieve his goals?

Wendy’s strategy:
STRATEGY| DESCRIPTION| ADVANTAGES| DISADVANTAGES|
Spin off A situation in which a company offers stock in one of its wholly-owned subsidiaries or dependent divisions such that subsidiary or division becomes an independent company. The parent company may or may not maintain a portion of ownership in the newly spun-off company. A company may conduct a spin-off for any number of reasons. For example, it may wish to divest itself of one industry so it can expand into another. It may also simply wish to profit from the sale of the subsidiary. A spin off should not be confused with a split off.| With implementing spin off, Wendy would be able to get independent from its parent operation chain Tim Horton’s dog nut. Even when Tim Horton’s Dog nut...
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