Asked by
Zhane Collins
on Dec 01, 2024Verified
Economies of scale are rarely realized in a horizontal merger.
Economies of Scale
Cost advantages reaped by companies when production becomes efficient, as the cost per unit of output decreases with increasing scale.
Horizontal Merger
The combination of two or more firms competing in the same market with the same good or service.
- Acquire knowledge on the economic effects and shareholder consequences of mergers and acquisitions.
Verified Answer
KC
Learning Objectives
- Acquire knowledge on the economic effects and shareholder consequences of mergers and acquisitions.
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