Firms Will Merge or One Firm Will Acquire Another for All

question 47

Multiple Choice

Firms will merge or one firm will acquire another for all but which of the following reasons:

• A)one large firm has a cost advantage over two smaller firms.
• B)synergies involved between the two firms.
• C)to enter a new market.
• D)to diversify risk.
• E)one large firm can sell more than two smaller firms.

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Definitions:

HR Function

The department within an organization responsible for managing human resources, including recruitment, training, compensation, and benefits.

Total Reward Model

A strategy or approach that recognizes all aspects of compensation, including financial rewards, benefits, work-life balance, recognition, and development opportunities.

Employment Relationship

Refers to the legal and practical link between employers and employees, highlighting rights, responsibilities, and dynamics in the workplace.

Pay Equity

A policy to eliminate the gap between the income of men and women, ensuring that salary ranges correspond to the value of work performed.