- Define the following terms & answer the flowing questions:
- Merger
- Acquisition
- Consolidation
- Tender Offer
- Economies of Scale
- Diseconomies of Scale
- Loss Aversion
- What is the difference between an acquisition and a merger?
- Name at least 8 types of Mergers.
- Give at least 5 reasons to acquire or merge with another company.
- Name at least 3 ways a corporation can finance an M&A.
- Cite at least 3 reasons an M&A can fail?
- If a company does not want to be taken over, what strategies can they implement to block it from occurring?
- Cite one major failed merger in the United States and explain in 30 words or less why it failed?
- Give one reason why a company would want to divest, spin-off, or otherwise break apart (a de-merger, in a sense)?
- Compare and contrast “Internal” vs “External” Economies of Scale (in 60 words or less)?