Else Nutrition Holdings Inc (BABYF)

[pual]

This morning NR: ‘set to launch Else™ Toddler Omega complete & balanced nutrition drink’ …‘We’re continually innovating’.

An abstract from : https://hbr.org/2005/11/innovation-versus-complexity-what-is-too-much-of-a-good-thing

The fact is, companies have strong incentives to be overly innovative in new product development. … But continual launches of new products add complexity throughout a company’s operations and the costs of managing that complexity makes margins shrink. To maximize profit potential, a company needs to identify the point at which an additional offering destroys more value than it creates.

If our CEO wants to succeed, she must figure out a way to keep doing what she's good at and get help for what seems to be her short comings.

An abstract from my post #4530: THIS WAS JUST THE ILLUSTRATION OF A CONCEPT, following an event impacting ABBOTT

Assuming ABBOTT very seriously want to recuperate from this blow, a scenario could be:

1 - Create an ABBOTT laboratories baby food ‘new subsidiary', financing it with issuing 17,500,000, new shares representing a dilution of less than 1% considering current ABBOTT 1,768,000,000 O/S.

2 - Make NIBF a 2 divisions company:
- One division with an R&D and product development mission and
- another division mandated to market the products developed by the first division.

3 - Make current executives of Else manage the first division
- Assign some current marketing executives from ABBOTT to run the other division.

My point: Our CEO should not reject all 'buyout' offers, she should see if she should not get a good 'Win-Win' situation not giving her full control of everything.

Having half of a big tasty cake is better than having all of a failed distateful one