ABSTRACT

Nortel Network Corporations was a major player in the telecommunications industry in the 1990s. Headquartered in Canada, the company had capitalization in excess of C$350 billion in July 2000. Although a diversified company, Nortel focused primarily in the telecommunications industry. Using a very aggressive acquisition strategy, Nortel quickly grew worldwide acquiring companies linked to their business. Nortel was lauded for its performance and praised by analysts

for its “solid sustainable growth.” The CEO of Nortel was also praised for his visionary ideas and his deftness in growing Nortel. The company was seen as the pride of Canada as it continued its invincible ascent. Share prices of Nortel tripled in four years and were at a peak of C$200 in 2000.