When one firm acquires a(n) ________ of another firm, it has acquired enough of that firm's assets so that the acquiring firm is able to make all the management and strategic decisions in the target firm.
A) market stake
B) equity share
C) controlling share
D) equity stake

Question

Quizplus · Accepted Answer

The term "controlling share" refers specifically to an ownership stake that gives the controlling firm enough voting power to make key decisions within the acquired firm. This could include decisions about management, strategy, and resource allocation. The other options (market stake, equity share, and equity stake) are either more general terms or refer to specific types of ownership stakes that may not necessarily confer control over the target firm.

When One Firm Acquires A(n) ________ of Another Firm, It