If an Automobile Manufacturer Were to Acquire One of the Firms

question 81

Multiple Choice

If an automobile manufacturer were to acquire one of the firms listed below,which acquisition would be called a horizontal merger?

• A) A steel mill
• B) A rival manufacturer
• C) A tire producer
• D) A bank

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Definitions:

Directive Leader

A leader who provides clear expectations and specific directions to their followers.

Groupthink

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

Directive Group Leader

A leader in a group setting who guides, structures, and directs the group's activities and discussions.

Group Polarization

The tendency for a group to make decisions that are more extreme than the initial inclination of its members.