1. Why did Tiffany become a takeover target? 

2. Acquisitions are one tool to execute corporate strategy. Why did LVMH acquire Tiffany? In your answer, focus on product and geographic diversification. 

3. How is LVMH attempting to unlock value at Tiffany? 

4. Do you believe that LVMH will be successful with its new strategy for Tiffany? Why or why not? Be specific. 

5. Who do you think should be Tiffany’s target audience? What should Tiffany be selling to them? 

6. Conglomerates often experience a diversification discount. LVMH is already the largest luxury conglomerate in the world, more than double the size of the following two conglomerates combined (Kering and Richemond). Do you think LVMH will experience a diversification discount? Is there a limit to conglomerate size? Or is bigger always better?