Big Mutual Insurance Company would like to take advantage of financial services deregulation by acquiring a bank and a stock brokerage firm.Big Mutual,however,would have trouble raising the funds needed to make these acquisitions under the mutual form of organization.Big Mutual is planning to switch from the mutual form of organization to the stock form,and to issue shares of common stock to raise capital.This change in organizational structure is called

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The process described in the scenario is known as demutualization, which involves a mutual insurance company changing its organizational structure to become a stock corporation and issuing shares of common stock to raise capital. This allows the company to access the benefits of financial services deregulation and make acquisitions like acquiring a bank and stock brokerage firm.

Big Mutual Insurance Company Would Like to Take Advantage of Financial