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Why Are M as and Alliances Often Undertaken in Isolation

Question 22

Multiple Choice

Why are M As and alliances often undertaken in isolation?


A) Firms combined mergers, acquisitions, and alliance departments are often poorly managed
B) M As let a firm stay focused on its own needs while alliances require a great deal of investment in the other company.
C) In many firms, an M A group reports to CFO while a separate unit deals with alliances.
D) An alliance usually satisfies shareholders of both organizations, precluding an acquisition

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