Who Usually Gains the Most in a Merger

question 54

Multiple Choice

Who usually gains the most in a merger?

• A)Acquiring firm's shareholders
• B)Acquiring firm's management
• C)Target firm's shareholders
• D)Target firm's management

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Definitions:

Franchisor

The parent company that develops a product or business process and sells the rights to franchisees.

Business Process

A series of steps performed by a group of stakeholders to achieve a concrete goal, typically involving defining, measuring, analyzing, improving, and controlling processes.

Business-Format Franchising

A type of franchising in which the franchisee adopts the franchisor’s entire method of operation.

Fast-Food Restaurants

Eateries that specialize in providing quick service, convenience, and food that is prepared and served quickly to customers.