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Quiet: The Power of Introverts in a World That Can ... - WordPress.com

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uy<strong>in</strong>g <strong>com</strong>panies can get so excitedabout beat<strong>in</strong>g out their <strong>com</strong>petitorsthat they ignore signs that they’re overpay<strong>in</strong>g.This happens so frequently thatit has a name: “deal fever,” followed by“the w<strong>in</strong>ner’s curse.” <strong>The</strong> AOL–TimeWarner merger, which wiped out $200billion <strong>of</strong> Time Warner shareholdervalue, is a classic example. <strong>The</strong>re wereplenty <strong>of</strong> warn<strong>in</strong>gs that AOL’s stock,which was the currency for the merger,was wildly overvalued, yet TimeWarner’s directors approved the dealunanimously.“I did it with as much or more excitementand enthusiasm as I did when Ifirst made love some forty-two yearsago,” exclaimed Ted Turner, one <strong>of</strong>those directors and the largest <strong>in</strong>dividualshareholder <strong>in</strong> the <strong>com</strong>pany. “TEDTURNER: IT’S BETTER THAN SEX,” announcedthe New York Post the day454/929

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