Mergers differ from joint ventures in that they involve the creation of a new business firm, rather than the union of two existing companies.

Name: Mergers differ from joint ventures in that they involve the creation of a new business firm, rather than the union of two existing companies.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The given statement is incorrect. Joint ventures involve the creation of a new business entity, whereas mergers involve the combination of two or more existing companies to form a new entity.

Mergers Differ from Joint Ventures in That They Involve the Creation