Which Are the Following Statements About Pre-Merger Planning Is Untrue

question 16

Multiple Choice

Which are the following statements about pre-merger planning is untrue?

• A)It is easier to predict the outcomes of horizontal M&A than other types of M&A
• B)In the case of horizontal M&A,it is easier to predict the impact on revenues than the impact on costs
• C)The outcomes of a hostile acquisition are more difficult to predict than the outcomes of a friendly acquisition
• D)Acquisitions that are directed towards a firm reinventing its business model should be regarded as riskier than those which leverage its existing business model.

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Definitions:

Temporary Drug Treatment

The use of pharmaceuticals for a limited period to treat a condition or manage symptoms.

Dysfunction

A deviation from the norms or an impairment that leads to adverse effects on individual or group functioning.

Power Imbalance

A situation where there is an unequal distribution of power among individuals or groups, leading to dominance by one over the others.

Maintenance Phase

A stage in relationship development where efforts are focused on preserving and sustaining the relationship.