A way with words

On April 5, Microsoft Inc. shot a strongly worded letter to Yahoo's board of directors with a deadline to negotiate the terms of the deal (here). Industry observers are reading high into Microsoft's desperate attempts to enter the online advertising stream and additionally their disappointment at Yahoo's unconfirmed talks with Google, AOL and other internet properties.

Yahoo's response to this letter was posted on their website on April 7. (here). In that letter, Yahoo took a good shot at all Microsoft allegations surrounding their right to look for strategic alternatives to maximize shareholder value, potential upside on the business front over a 3 year period, anti-trust regulatory investigations and their stoic approach any future threats.

One of the better verbal battles, I've come across involved an American and an Indian company. The letters make for a fantastic reading.

The Indian Hotels Company in Nov 2007 had shot off a proposal to the Orient Express Hotel (where the former was the largest shareholder). This proposal was rebuffed by Orient Express twice, then followed by a acrimonious letter by Orient Express CEO, Paul White dated 10 Dec, 2007. A copy of the letter is enclosed (here).

The one line which must have erked IHCL : "We believe any association of our luxury brands and properties with your brands and properties would result in a reduction in the value of our brands and of our business and would likely lead to erosion in the RevPar premiums currently achieved by our properties."

On 19 Dec 2007, IHCL reverted with a perfect reply (here). The last paragraph of the letter should be read and re-read by every Indian.

It reads : "Taj Hotels is a proud Indian company, and it will persevere with its global expansion strategy. Indian companies will continue to play a meaningful role in the ongoing global economic integration and in that environment will take their rightful place in the international arena. Enterprises and individuals must recognize and adapt to these fundamental economic changes. We believe that those with a fossilized frame of mind risk being marginalized."