Which one of the following is not one of the reasons that Jensen and Ruback listed as to why bidding firms might want to engage in merger and acquisition strategies?
A) To reduce production or distribution costs
B) To gain market power in product markets
C) To expand individual managers' power within an organization
D) To eliminate inefficient target management

Question

Quizplus · Accepted Answer

Jensen and Ruback listed reducing production and distribution costs, gaining market power, and eliminating inefficient target management as reasons why bidding firms might engage in merger and acquisition strategies. However, expanding individual managers' power within an organization is not a commonly cited reason for mergers and acquisitions.

Which One of the Following Is Not One of the Reasons