If Microsoft were to acquire Dell Computer,it would be an example of a:
A) vertical merger.
B) horizontal merger.
C) conglomerate merger.
D) distribution-channel merger.

Question

Quizplus · Accepted Answer

A vertical merger involves the merger of companies that are in different stages of the same industry's value chain. In this case, Microsoft and Dell are in different stages of the computer industry's value chain, with Microsoft mainly providing software and Dell mainly providing hardware. Thus, if Microsoft acquires Dell, it would be a vertical merger.

If Microsoft Were to Acquire Dell Computer,it Would Be an Example