Strategy question

Do you think Google should buy the iRobot company? Why or why not?

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What this question tests

M&A strategic reasoning covering strategic fit, cost, and alternative options, not just a gut yes or no.

How to approach it

  1. State the likely motive, expanding into smart home hardware and home mapping data to strengthen the smart home ecosystem.
  2. Assess the fit, a home robot maps home layouts, which could feed into a broader smart home data strategy.
  3. Weigh the cost and risk, hardware businesses have thin margins and require different operational skills than a core software business.
  4. Consider the alternative, partnering instead of a full acquisition, at lower cost and risk.
  5. Give a recommendation with a clear reason, referencing that a similar deal by a competitor faced antitrust scrutiny.

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