In Technology-Based Industries,the Most Common Reason for Established Companies to Acquire

question 3

Multiple Choice

In technology-based industries,the most common reason for established companies to acquire small,start-up firms is in order to:

• A)Preempt competitive attacks from potential rivals
• B)Acquire capabilities in emerging areas of technology
• C)Boost revenue growth as their own core businesses experience slower growth
• D)Recruit the entrepreneurial leaders of stat-up companies in order to revitalize their own managerial ranks.

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Definitions:

One Class of Stock

A corporate structure where all shares offer the same rights, privileges, and limitations to shareholders, without tiered levels of stock.

Corporate Name

The legal name under which a corporation is registered to do business, which is protective and exclusive in many jurisdictions.

Distinguishable

Capable of being recognized as different or distinct from others based on specific characteristics or criteria.

Surnames

The family or last names that identify individuals as belonging to a certain family lineage or heritage.