Merger and Acquisition Strategies

question 45

Multiple Choice

Merger and acquisition strategies

• A) are nearly always a superior strategic alternative to forming alliances or partnerships with these same companies.
• B) may offer considerable cost-saving opportunities and can also be beneficial in helping a company try to invent a new industry and lead the convergence of industries whose boundaries are being blurred by changing technologies and new market opportunities.
• C) are a particularly effective way of pursuing a blue ocean strategy and outsourcing strategies.
• D) seldom are a superior strategic alternative to forming alliances or partnerships with these same companies because of the financial drain of using the company's cash resources to accomplish the merger or acquisition.
• E) are one of the best ways for helping a company strongly differentiate its product offering and use a differentiation strategy to strengthen its market position.

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Definitions:

Random Assignment

A method used in experiments to ensure that every participant has an equal chance of being assigned to any given group, thereby reducing bias.

Experimenter Bias

A phenomenon that occurs when a researcher’s preconceived notions or expectations in some way influence participants’ behavior and/or the researcher’s interpretation of experimental results.

Placebo Effect

A psychological phenomenon where a person experiences a perceived improvement in condition after receiving a treatment that has no therapeutic effect.

Nonalcoholic Drink

A beverage that contains no alcohol, often including soft drinks, juices, tea, coffee, and water.