What Type of Ownership Is Created When a Firm Buys

question 77

Multiple Choice

What type of ownership is created when a firm buys another outright?

• A) Merger
• B) Acquisition
• C) Spin-off
• D) Divestiture
• E) Institutional

---

Definitions:

Cultural Relativism

The principle that an individual's beliefs and activities should be understood by others in terms of that individual's own culture, emphasizing the avoidance of ethnocentric judgments.

Ethnocentrism

The belief in the inherent superiority of one's own ethnic group or culture.

Cultural Contagion

The rapid spread of beliefs, values, practices, and norms from one culture to another, often through social interaction or media.

Power Distance

The extent to which less powerful members of a society accept and expect that power is distributed unequally.