Some Acquisitions Are Made to Build Capabilities

question 16

Essay

Some acquisitions are made to build capabilities. Others are made to gain market power, reducing costs, or increasing growth. Briefly describe these four reasons, and clarify the main difference between the building capabilities motivation and the other three motivations for acquisitions.

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Definitions:

Range Finder

A device or tool used to measure the distance from the observer to a target, often employed in photography, golf, and surveying.

Formula Assigned

Refers to the specific equation set to calculate values in spreadsheet cells, involving mathematical operations and cell references.

Active Cell

The currently selected cell in a spreadsheet, where data entry or editing can be performed.

Formula AutoComplete

A feature in spreadsheet software that predicts and suggests formulas as the user starts typing, aiming to speed up data entry.