There Are Few True Mergers Because

question 101

Multiple Choice

There are few true mergers because:

• A) few firms have complementary resources.
• B) integration problems are more severe than in outright acquisitions.
• C) one firm usually dominates in terms of market share, size, or value of assets.
• D) of managerial resistance. True mergers result in significant managerial-level layoffs.

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Definitions:

Exporting

The process of selling goods or services produced in one country to buyers in another country.

Master Franchise Arrangement

A type of franchise agreement where the master franchisee has the exclusive rights to develop a brand in a particular territory, sub-franchising to others.

Joint Ventures

A business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task, often with both sharing in the profits and risks.

Unfair Regulation

Imposed rules or laws considered unjust and detrimental to specific groups or entities.