The existing management of a firm is almost always ready to accept an offer for the purchase of the firm at a price above the market price.

Question

Quizplus · Accepted Answer

This statement is not always true. The existing management of a firm may have a strategic plan or vision for the future of the company that they believe can generate a higher long-term value than the offered purchase price. Additionally, they may have emotional or personal ties to the company and may not want to sell it regardless of the offer.

The Existing Management of a Firm Is Almost Always Ready