The Growing Number of Takeovers of Western Companies by Chinese

question 26

Multiple Choice

The growing number of takeovers of Western companies by Chinese and Indian companies reflects:

• A)The shifting locus of economic prosperity in the world.
• B)The drive by Chinese and Indian firms to internationalize.
• C)The impact of the 2008-2009 financial crisis in reducing the stock market value of many western companies.
• D)The desire of Chinese and Indian firms for Western technology.

Recognize the advantages and disadvantages of partnership compared to incorporation.

Identify the regulatory requirements for sole proprietorships and partnerships.

Understand the concept and extent of fiduciary duty between an agent and a principal.

Grasp the implications of the Partnership Act on joint business activities.

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Definitions:

Competing Companies

Businesses or organizations that are in the same industry and vie for the same customer base, market share, or resources.

Market Power

The ability of a firm or entity to influence the price, quantity, and other market factors of goods or services, often due to its dominant share or unique position.

Horizontal Merger

A business strategy involving the combination of two or more companies at the same stage of production in the same or different industries.

Assimilation

The process by which new employees adjust and adapt to the norms, values, and culture of their workplace.