Which External Growth Strategy Involves Two or More Corporations Joining

question 71

Multiple Choice

Which external growth strategy involves two or more corporations joining in a stock exchange and from which only one corporation survives?

• A) merger
• B) strategic alliance
• C) diversification
• D) acquisition
• E) concentration

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Definitions:

Liability

The legal responsibility of an individual for his or her actions.

Fur Coat

A coat made from the fur of animals, worn for warmth or as a fashion statement.

Bailment

The act of temporarily transferring physical possession of personal property by one party (the bailor) to another (the bailee) for a specific purpose.

Mutuum

A loan of goods with the intention that the goods may be used and later replaced with an equal amount of different goods.