In Either an Upstream or Downstream Merger

question 43

Multiple Choice

In either an upstream or downstream merger:

• A) the ownership of the competitors change.
• B) the number of competitors increase.
• C) the market share of the purchaser decreases.
• D) the anticompetitive effects are not apparent.

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Definitions:

Individual Decision

A decision-making process where a single person makes a choice based on their judgment and information available to them.

Group Decision Making

The process by which multiple individuals come together to make a decision collectively, often involving discussion and negotiation.

Groupthink

A psychological phenomenon in which the desire for harmony or conformity within a group leads to an irrational or dysfunctional decision-making outcome.

Diffusion of Responsibility

A phenomenon where individuals in a group are less likely to take action or feel accountable for actions because the responsibility is seen as being distributed among all members of the group.