In both the turnaround and integration stages of an acquisition, a firm must make a significant contribution to the new unit to justify the diversification move to investors.

Question

Quizplus · Accepted Answer

During both the turnaround and integration stages of an acquisition, a firm must indeed make significant contributions to the new unit, such as financial resources, managerial expertise, or technology, to ensure the success of the diversification and justify the move to investors by demonstrating the potential for added value or synergies.

In Both the Turnaround and Integration Stages of an Acquisition