In 2019, textbook giants, McGraw-Hill (the publisher of our text and Connect) and Cengage Learning, announced plans to merge in 2020. Of course, when mergers of this magnitude are proposed, they must undergo United States governmental scrutiny by the Department of Justice (DOJ) due to antitrust laws – and, because these are multinational companies, they also faced scrutiny by governments outside of the US.
Watch the two videos below. First watch the pitch made by the current CEOs of these companies, and then watch a consolidated report of the push back this proposed merger received. Since you are all students, the content and cost of textbooks is undoubtedly of concern. Listen and discuss the proposals from your unique perspectives. Do you think this merger should have gone through? Why or why not? I should note that after serious concerns in the US and around the world, the two companies recently abandoned their plans to merge. However, these types of mergers may be proposed in the future.
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