Which of the Following Statements Is True About Horizontal Mergers

question 30

Multiple Choice

Which of the following statements is true about horizontal mergers?

• A)Horizontal mergers result from an intention to achieve economies of scale.
• B)Horizontal mergers result in the fragmentation of the industry.
• C)Horizontal mergers has been a very successful concept so far with zero cases of failure.
• D)Companies that establish a network of linked merchandising outlets to obtain advantages of cost leadership are known as horizontal mergers.
• E)Companies that adopt the strategy of centralization to gain control over all business units are known as horizontal mergers.

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