Which of the following would be the least important reason for a company to merge with another company?
Which of the following would be the least important reason for a company to merge with another company?
While reasons such as diversifying risk, reducing labor costs, or increasing stock prices offer direct and substantial financial benefits to a company, merging strictly as a response to new government policy is less likely to be a primary driving factor. Companies typically merge to achieve specific strategic objectives that enhance their competitive advantage and financial footing, rather than simply reacting to external policy changes.
why diversify risk?
This is a part 1 question