The acquisition of a firm in the same industry as the bidder is called a:
A) Conglomerate acquisition.
B) Forward acquisition.
C) Backward acquisition.
D) Horizontal acquisition.
E) Vertical acquisition.

Question

Quizplus · Accepted Answer

Horizontal acquisition refers to the acquisition of a company operating in the same industry as the acquiring company. This type of acquisition is aimed at consolidating operations, reducing competition, or achieving economies of scale.

The Acquisition of a Firm in the Same Industry as the Bidder