A ____ is a specialized type of acquisition in which the target firm reacts negatively to the acquiring firm's offer.
A) rescue
B) consolidation
C) takeover
D) merger

Question

Quizplus · Accepted Answer

In a takeover, the target firm usually does not want to be acquired by the acquiring firm and may even resist the acquisition. The acquiring firm may need to use other tactics, such as a hostile takeover, to acquire the target firm. This is different from a merger, where both firms are typically willing participants in the transaction. A rescue is a type of acquisition where a financially distressed firm is acquired to prevent its bankruptcy or liquidation. Consolidation refers to the combining of two or more firms to form a new entity.

A ____ Is a Specialized Type of Acquisition in Which