In your own words, explain the differences among a horizontal merger, a vertical merger, and a conglomerate merger.

What will be an ideal response?


A horizontal merger is a merger between "like" firms-firms that make and sell similar products or services in a similar manner and in similar markets. A vertical merger is between firms that operate at different but related levels in the production and marketing of a product. A conglomerate merger is between firms in completely different industries.

Business

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What will be an ideal response?

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Indicate whether the statement is true or false.

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A company has just received a special, one-time order for 1,000 units. Producing the order will have no effect on the production and sales of other units. The buyer's name will be stamped on each unit, at a cost of $1.50 per unit. Normal cost data, excluding stamping, follows: Direct materials…………………………… $ 10 per unit Direct labor………………………………..   16 per unitVariable overhead…………………………   4 per unitAllocated fixed overhead………………….   12 per unitAllocated fixed selling expense……………   8 per unit  Prepare an analysis that indicates the selling price per unit this company will require to earn $3,000 on the order.

What will be an ideal response?

Business

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Answer the following statement true (T) or false (F)

Business