A merger between two or more companies that compete in the same business and geographical market is known as ________.
A) horizontal merger
B) vertical merger
C) market extension merger
D) conglomerate merger

Question

Quizplus · Accepted Answer

A horizontal merger involves the combination of two or more companies that are in the same line of business and operate in the same geographical market. This type of merger is often done to increase market share, reduce competition, and achieve economies of scale. Therefore, option A is the best choice. The other options (B, C, and D) are not applicable as they refer to different types of mergers.

A Merger Between Two or More Companies That Compete in the Same