Which of the Following Is a Way in Which the Risk

question 128

Multiple Choice

Which of the following is a way in which the risk of failure of an acquisition can be reduced?

• A) By undervaluing the assets of an acquired firm
• B) By ensuring that firms are acquired in the home country
• C) By replacing high-level managers of an acquired firm
• D) By a detailed auditing of operations, financial position, and management culture
• E) By investing only in a firm that is managing to break even

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Definitions:

Social Needs

The human requirements for love, belonging, and affection that motivate behavior and play a major role in mental health.

Esteem Needs

According to Maslow's hierarchy of needs, these are the fourth level of human needs, focusing on self-esteem, confidence, achievement, respect of others, and respect by others.

Emotional Holes

Psychological or emotional voids that individuals may attempt to fill with various behaviors or substances, often leading to unhealthy patterns.

Latin Root

The base of a word derived from Latin, often used to understand the origin and meaning of English words.