Executive Summary CGE experienced glaringly different leadership styles as Jean-Marie Messier succeeded Guy Dejouany. While Dejouany focused on vertically integrating CGE and transforming the company into a conglomerate, Messier focused on profitability and restructuring within the company. As Dejouany’s leadership ended with a cash crisis and corruption scandal, Messier’s leadership led CGE’s stock to an appreciation of 71.8% within two years after succeeding Dejouany. The leadership change occurred at the right time. Dejouany looked at the big picture and maneuvered CGE into a vast and profitable conglomerate at its prime, while Messier painted the picture and refined CGE into Vivendi, focusing on …show more content… Going through with this would mean that Vivendi may not get the full benefit of the knowledge that Havas has in the communications segment. If Havas is integrated into Vivendi, redundancies can be eliminated as well, reducing the cost to do business. Also, many analysts had the belief that Vivendi’s management would be able to add substantial value to Havas through operational and financial restructuring (Montgomery, 13). The water segment can continue to be serviced domestically while slowly expanding internationally. It is their bread and butter as well as the most stable service. Page 3 of 8 Vivendi should gain the trust of the people and government which are key factors to succeeding domestically in this service area. Slow and steady international expansion will add more potential for cash flows. The resulting cash flows can provide a very stable source of funds for other expansions. However, focusing more on the water segment could possibly mean missed opportunities in other growing areas. Vivendi could also expand its communications domestically as well as internationally. The communications segment provides new opportunities for profitability in the future. The internet is also gaining in popularity among the masses, making this option more attractive. This segment can be be invested in by the cash flow from the Show More
