Since both P&G and Gillette are consumer products firms, this acquisition is best described as a
A) vertical merger.
B) horizontal merger.
C) market extension merger.
D) conglomerate merger.

Question

Quizplus · Accepted Answer

This acquisition can be categorized as a horizontal merger since both P&G and Gillette are in the same industry and produce similar products. They both operate in the consumer products business and the merger will allow them to expand their product offerings and increase market share within this industry.

Since Both P&G and Gillette Are Consumer Products Firms, This