BUSI 4940 Exam 3 2025 COMPLETE EXAM
QUESTIONS AND ACCURATE ANSWERS |ALREADY
PASSED!!
Corporate level is concerned with - (ANSWER)Diversification
Merger - (ANSWER)2 firms agree to integrate their operations on a relatively co-
equal basis to create another NEW firm
Acquisition - (ANSWER)One firm buys a controlling (100% interest) in another
firm with the intent of making the acquired firm a subsidiary business w/in its
portfolio (amazon buying whole foods)
Takeover - (ANSWER)Acquisition in which the target firm did not solicit the
acquiring firm's bid for outright ownership
Increased Market Power occurs when: - (ANSWER)ability to sell goods above
competitive levels, costs of activities below competitors, a firm's size
Acquisitions intended to increase market power are subject to: -
(ANSWER)Regulatory review and analysis by financial markets
Market power is increased by: - (ANSWER)Horizontal acquisitions, Vertical
Acquisitions, Related acquisitions
, Entry Barriers - (ANSWER)factors associated w a company's ability to engage
immediate access in a specific market
Cross-Border Acquisitions - (ANSWER)acquisitions made between firms with
headquarters in different countries
Firms acquire (buy) because: - (ANSWER)cost of new product development is
high, desire an increased speed to enter product market (FB buying Insta)
Lower risk compared to Developing new products - (ANSWER)managers view
acquisitions as low risk, acquisitions discourgae innovation
All diversification can be implemented through acquisitions and ____ risk -
(ANSWER)mitigate
An acquisition can: (reshaping firm's competitive scope) - (ANSWER)reduce
negative effect of an intense rivalry, reduce a firm's dependence
Learning & Develop New capabilities to: - (ANSWER)build their own knowledge
base, gain capabilities the firm doesn't already possess
Integration challenges include: - (ANSWER)melding two disparate corp cultures,
resolve problems regarding the status of the newly acquired firm's executives
QUESTIONS AND ACCURATE ANSWERS |ALREADY
PASSED!!
Corporate level is concerned with - (ANSWER)Diversification
Merger - (ANSWER)2 firms agree to integrate their operations on a relatively co-
equal basis to create another NEW firm
Acquisition - (ANSWER)One firm buys a controlling (100% interest) in another
firm with the intent of making the acquired firm a subsidiary business w/in its
portfolio (amazon buying whole foods)
Takeover - (ANSWER)Acquisition in which the target firm did not solicit the
acquiring firm's bid for outright ownership
Increased Market Power occurs when: - (ANSWER)ability to sell goods above
competitive levels, costs of activities below competitors, a firm's size
Acquisitions intended to increase market power are subject to: -
(ANSWER)Regulatory review and analysis by financial markets
Market power is increased by: - (ANSWER)Horizontal acquisitions, Vertical
Acquisitions, Related acquisitions
, Entry Barriers - (ANSWER)factors associated w a company's ability to engage
immediate access in a specific market
Cross-Border Acquisitions - (ANSWER)acquisitions made between firms with
headquarters in different countries
Firms acquire (buy) because: - (ANSWER)cost of new product development is
high, desire an increased speed to enter product market (FB buying Insta)
Lower risk compared to Developing new products - (ANSWER)managers view
acquisitions as low risk, acquisitions discourgae innovation
All diversification can be implemented through acquisitions and ____ risk -
(ANSWER)mitigate
An acquisition can: (reshaping firm's competitive scope) - (ANSWER)reduce
negative effect of an intense rivalry, reduce a firm's dependence
Learning & Develop New capabilities to: - (ANSWER)build their own knowledge
base, gain capabilities the firm doesn't already possess
Integration challenges include: - (ANSWER)melding two disparate corp cultures,
resolve problems regarding the status of the newly acquired firm's executives
