Invest Like The Best
Episode 131 The Evolution of M&A and Corporate Strategy
Invest Like The Best

Episode 131: The Evolution of M&A and Corporate Strategy

Invest Like The Best

Episode 131

The Evolution of M&A and Corporate Strategy

Stephanie Cohen is the chief strategy officer for Goldman Sachs. We cover lessons learned from her M&A career, how Goldman Sachs balances innovation and improving existing businesses, and corporate strategy.

[00:01:15] – (First Question) –  Motives on both sides for doing M&A

[00:03:26] – Most difficult deal she worked on

[00:04:50] – Biggest value add she brought from her seat on the Fiat deal

[00:05:59] – Biggest changes since she started to today

[00:08:31] – Smartest ways for companies who want to be acquired to be prepared

[00:10:14] – Best M&A banker she’s seen

[00:11:13] – What should businesses looking to make an acquisition be thinking about

[00:15:16] – What does a strategy from her perspective mean

[00:17:16] – Tension between innovation and change

[00:19:46] – Difference between bottom-up and top-down components of strategy

[00:22:15] – Exploration vs exploitation

[00:26:28] – Submission process within accelerate

[00:29:37] – Next step after you see a good idea

[00:31:05] – Her take on FinTech and Industrials and their collision

[00:35:15] – Lessons from elite early stage investors

[00:37:21] – The origins of the LAUNCH program

[00:40:06] – Important pieces beyond just the capital

[00:42:42] – How they market to women starting business

[00:44:56] – Lessons that she has learned about narrative and communications

[00:47:07] – How she handles developing talent internally

[00:49:28] – Managing her time

[00:51:22] – Biggest concerns about OKR’s?

[00:52:09] – Kindest thing anyone has done for Stephanie

[00:53:07] – Kids in the area of competing

The Evolution of M&A and Corporate Strategy

Introduction

Patrick
My guest this week is Stephanie Cohen, who is the Chief Strategy Officer for Goldman Sachs and a member of their management committee. Prior to her current role, she spent the majority of her career in the investment banking and M&A divisions at Goldman. We discuss lessons learned from her career in M&A and the many initiatives she now leads at the firm. I really enjoyed her perspective on how a big, established firm like Goldman can balance innovation with improving existing businesses. Please enjoy our conversation.

Diving into Corporate M&A

You mentioned this idea of synergies. I'm very interested in the M&A side to know the pure and impure motives from both sides, acquirer and acquiree for doing these sorts of deals. So there's some literature that suggests that the average M&A deal is not good for the acquiring company? I'm curious to hear your thoughts on that, having been on the inside. That's a very like quant take, not a company by company take. So what do you think the right reasons are where the most value is created for a big, let's say, merger or acquisition? And then the second question will be, what are the wrong ways to do this?

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