Which of the Following Is Not a Common Shortcoming of a Merger

question 20

Multiple Choice

Which of the following is not a common shortcoming of a merger or acquisition?

• A)The acquiring firm pays a premium.
• B)Top managers of the acquired firm often depart the organization.
• C)Building a common culture after layoffs can be complicated.
• D)All of the above are common shortcomings.

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Definitions:

Vision Statement

A declaration of an organization's long-term goals and aspirations, outlining what it wants to achieve in the future.

Competitive Advantage

An advantage or favorable situation that places a business ahead of its competition in the market.

Resource Advantage

A competitive strategy theory focusing on how organizations can achieve higher performance by acquiring and efficiently using resources to provide greater value than competitors.

Corporate Culture

Corporate culture encompasses the beliefs, behaviors, values, and symbols that the members of an organization accept and share, significantly influencing its identity and actions.