Private synergy:
A) occurs in most related acquisitions and allows firms to see increased returns.
B) is frequently achieved in conglomerates.
C) is not easy for competitors to understand and imitate.
D) is assessed by managers during the due diligence process.

Question

Quizplus · Accepted Answer

Private synergy involves the combination of intangible assets such as human capital, culture, and knowledge, that are difficult for competitors to replicate. Therefore, it is not easy for competitors to understand and imitate, making it a valuable source of sustained competitive advantage for firms.

Private Synergy