A MULTIPLE OBJECTIVE SELECTION METHODOLOGY FOR STRATEGIC INDUSTRY SELECTION ANALYSIS

This paper contains a new application of mathematical programming in the industry selection step of strategic acquisition analysis. Specifically, this paper describes the management information uses of multiple objective programming in the strategic planning of organization acquisitions. The modeling approach presented in this paper has application to all forms of organization acquisition analysis (i.e., acquisitions, mergers, joint-ventures, etc.). An illustrative application of the modeling approach is presented using data from a regional conglomerate's actual acquisition study. The benefits of the use of the multiple objective modeling approach include improvements in the efficacy and specificity of information on which acquisition decision making is based, and new types of information that are not currently available using existing acquisition methodology.