It might be hard to swallow, DOW “in the business of change” from their 2007 annual report because they have been around for 110 years.  However think about changing markets and the challenges faced in 110 years and the pieces begin to fit.  Evidence on paper that DOW is up to the change challenge is 34% of their $53 Billion in sales come from products produced in the past 5 years.  They have divided services into what they call “Performance”(accelerating innovation) and “Basics”(integrating raw materials).  Each sector currently makes up 50% of their business, I believe what is important is the DOW leadership over “Performance” will have to meet challenges in sales with the model of selling products, while the leadership over “Baciscs” will have to meet challenges through joint ventures creating solutions to major national issues.  For example DOW has a new foam product which uses 60% less energy to produce and is green house gas nutral for the furniture, carpet and bedding industry.  This product will sell company to company under the “Performance” leadership.  However in China DOW is involved in a joint venture for the chemical side of an energy efficient coal to chemicals plant, which is a large joint venture being operated under the “Basics” leadership.  This gives experience to thousands of their employees to expand in two different and healthy methods of operation.  Regardless of the leadership, DOW has a baseline 2004 energy used per pound of product and a goal for this figure to be reduced 25% by 2015.  They were 4% better in 2007.

I believe Ben Hur should purchase DOW because they have the team in place to handle the major issues of the world today.  The company culture understands challenges are to come and they will be a part of national solutions resulting in earnings for the long term.