Intercontinental Provisions, a specialty grocery store, is considering a conglomerate merger with a company that makes storage solutions. A likely reason is
A) to expand its market share.
B) to develop spin-off companies.
C) diversification.
D) to meet the requirements to convert to a limited liability company.

Question

Quizplus · Accepted Answer

A conglomerate merger is between firms in unrelated markets. One of the common motivations for this type of merger is the desire to diversify business operations and investments.

Intercontinental Provisions, a Specialty Grocery Store, Is Considering a Conglomerate