In defending against a hostile takeover, the strategy that involves the target firm creating securities that give their holders certain rights that become effective when a takeover is attempted is called the ________ strategy.
A) shark repellent
B) greenmail
C) poison pill
D) golden parachute

Question

Quizplus · Accepted Answer

The strategy that involves the target firm creating securities that give their holders certain rights that become effective when a takeover is attempted is known as the poison pill strategy. The other options, shark repellent, greenmail, and golden parachute, are different strategies used in defending against a hostile takeover.

In Defending Against a Hostile Takeover, the Strategy That Involves