What you’ll learn to do: describe the two types of mergers and acquisitions
One of the quickest ways for a business to expand into other markets or products lines is either to merge or acquire/purchase another company. Although this is common in today’s business environment, there are still many complex factors to consider before deciding whether a merger or acquisition is the optimal solution.
The specific things you’ll learn in this section include:
- Define merger as a business strategy
- Define acquisition as a business strategy
- Explain why companies undertake horizontal mergers and acquisitions
- Explain why companies undertake vertical mergers and acquisitions