Which of the Following Is NOT a Potential Advantage to a Cross-Border

question 46

Multiple Choice

Which of the following is NOT a potential advantage to a cross-border acquisition compared to a Greenfield investment?

• A) Market imperfections may under-price local assets and allow the purchase of assets at significant discount.
• B) Cross-border acquisitions take longer, thus allowing the firm a better understanding of the local market before attempting sales.
• C) Acquisitions may be a cost-effective way of gaining competitive advantages such as technology or brand names.
• D) All of the above are advantages of acquisition over green field investment.

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Definitions:

Judgment Of Possession

A legal decree that assigns ownership of a property to a particular party, typically following a dispute resolution.

Void Liens

Legal claims or holds on property that are invalid or unenforceable due to defects in the lien's creation or in adherence to statutory requirements.

Exempt Properties

Items or assets that are protected by law from being seized by creditors or during bankruptcy proceedings.

Federal Exemptions

Specific assets or income types that are protected or exempt from seizure under federal law during bankruptcy.