When one automaker acquires another automaker the acquisition is classiﬁed as a:
A) Leveraged buyout.
B) Vertical acquisition.
C) Strategic alliance.
D) Conglomerate acquisition.
E) Horizontal acquisition.

Question

Quizplus · Accepted Answer

When one automaker acquires another automaker, it is classified as a horizontal acquisition because both companies operate in the same industry and offer similar products.

When One Automaker Acquires Another Automaker the Acquisition Is Classiﬁed