Continental Foods is looking at a possibility of agreeing to a conglomerate merger.A likely reason Continental may be looking at this type of merger is a desire to:
A)ensure quality control
B)supply a key ingredient needed by the company.
C)diversify its operations.
D)meet the requirements to convert to a limited liability company.

Question

Quizplus · Accepted Answer

A conglomerate merger involves combining with a company in a different industry, allowing Continental to diversify its operations and potentially reduce risk. None of the other options explain why Continental would pursue this type of merger.

Continental Foods Is Looking at a Possibility of Agreeing to a Conglomerate