If a Firm Sells Its Crown Jewels When Threatened with a Takeover

question 62

Multiple Choice

If a firm sells its crown jewels when threatened with a takeover attempt, the firm is employing a strategy commonly referred to as a ________ strategy.

• A) scorched earth
• B) shark repellent
• C) bear hug
• D) white knight
• E) lockup

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Definitions:

Autonomy

The capacity of an entity, typically a country, state, or individual, to govern itself independently.

Federalists

A political group in the early United States that advocated for a strong federal government and supported the ratification of the U.S. Constitution.

Taxes

Financial charges imposed by governments on individuals and organizations to fund public expenditure.

Sedition Act

Legislation in various forms throughout U.S. history that made it a crime to speak, write, or act in a manner that is deemed hostile or threatening to the government.