Inergy: Being bigger breeds innovation.

Many suppliers find mergers a tough way to achieve economies of scale. But French fuel systems supplier Inergy believes it has found synergies in innovative ways.

Inergy was formed in August 2000 through the merger of the plastic fuel tank businesses of Belgium's Solvay and France's Plastic Omnium. The merger created a large company focused on a single point of business, says Laurent Hebenstreit, president and chief operating officer.

Inergy, which is based in Paris, has about 40 percent of the global market for plastic fuel tanks. The company's research and development costs account for 6 percent of sales - the same amount as competitors such as Kautex …