In short…
The company's focus on mergers and acquisitions is justified owing to a number of different reasons. First of all, it takes over smaller brands and increases their value significantly by converting them into bigger brands. Secondly, mergers and acquisitions are allowing the company to expand to new segments and finally, they are helping the company attract high end customers. Mergers and acquisitions, for whatever reason the company may indulge in them, are beneficial for the company as well as for the investors as they will help Estee Lauder increase its returns to its investors significantly.