George ILIEV
Companies make themselves toxic by taking on unnecessary debt or entering into unfavourable covenants with lenders or customers that take effect when the company is acquired. For instance, a company may introduce a clause that extends its product warranty from 1 year to 10 years in case it is taken over - which is a future cost that will be borne by the acquirer (See Peoplesoft's defensive strategy against Oracle). Similarly, a company may give its employees lavish bonuses in case of a takeover which, again, will make it much less attractive as an acquisition target.
The fruit fly uses the toxic alcohol defense technique when it senses the presence of predator wasps. By laying its eggs on mildly-alcoholic rotting fruit flesh, it protects its larvae from turning into hosts of the parasitic wasp larvae. Even though this is toxic to the fly larva, it would be deadly to the wasp larva if the mother wasp laid its eggs inside such an "intoxicated" carrier (a common parasitic technique used by wasps).
The remarkable discovery in the Emory study is that the fruit fly can sense the threat of the presence of a female wasp, which triggers the alcohol defensive strategy, even if the fly has never before met a wasp in its life. Companies have a much easier ride in this respect as an acquisition attempt rarely comes unexpected.
