The Primary Purpose of a Conglomerate Merger Is

question 52

Multiple Choice

The primary purpose of a conglomerate merger is

• A) to achieve economies of scale available through increased production of a single good.
• B) to allow for decentralized management by spreading authority of a number of people spread throughout company locations.
• C) to avoid adverse effects of business cycles through diversification.
• D) to reduce competition by purchasing and then closing competing firms.

---

Definitions:

Aldrin

A highly toxic substance once used as an insecticide and rodenticide, now banned or restricted in many countries due to its environmental impact.

Dieldrin

A highly toxic, chlorinated, organic compound once widely used as an insecticide and pesticide before being banned due to environmental and health concerns.

First-generation

Refers to the first set of individuals or products in a new lineage or series, particularly in the context of immigrants or technology.

Chlorinated Hydrocarbons

Chemical compounds containing chlorine, carbon, and hydrogen, often used as pesticides, solvents, and industrial chemicals, but can be persistent environmental pollutants.