Increased company size can sometimes be a good motive for mergers and acquisitions, and can also sometimes be a bad motive for mergers and acquisitions.

Question

Quizplus · Accepted Answer

Increased company size through mergers and acquisitions can provide benefits such as economies of scale, market dominance, and diversification. However, it can also lead to negative outcomes like reduced efficiency, cultural clashes, and regulatory scrutiny, making it both a potentially good and bad motive.

Increased Company Size Can Sometimes Be a Good Motive for Mergers