Goodwill

Goodwill

1. Is called the intangible value, derived from factors such as clientele, efficiency, the organization, the credit, the prestige, the experience, the location of the company or the establishment in front to third parties, the good location, the quality of the merchandise or service, good relations with the workers, their job security, and the confidence that is achieved in the financial sector, due to good performance managerial. It is an asset of great value, since that allows to obtain clients, suppliers, credits, and place the company in an advantageous position versus to the competition.

   • Examples of intangible asset negotiations
     • - When Proctor and Gamble acquired Gillette for 63 billion dollars in the year 2005, they valued intangible assets at 55 billion dollars, of which 35 billion corresponded to goodwill, which represents 63.6% of the value intangible. So there was an overestimation of Intangible assets of goodwill and an underestimation of the identified intangible asset.
     • - Walt Disney paid 7500 million dollars for the digital animation studio Pixar. Intangible assets brand and trade names were valued it's only 200 million, and the goodwill in 5600 million. This is another example of overestimation of the goodwill and underestimation of the intangible asset identified.
     • In 2006, Google acquired YouTube for $ 1.2 billion, which figured in the headlines of the stock market of brands. Of the total acquisition, only 200 millions were attributed to identified intangible assets, and 83.4% to goodwill. It is known that the success of YouTube is due to the ability of the brand to attract subscribers, so the valuation made for the brand is extremely low.

2. Laura Andrea Medina Rangel 212032_28 VALUATION AND NEGOTIATION OF TECHNOLOGY