There are few true mergers because:
A) few firms have complementary resources.
B) integration problems are more severe than in outright acquisitions.
C) one firm usually dominates in terms of market share, size, or value of assets.
D) of managerial resistance. True mergers result in significant managerial-level layoffs.

Question

Quizplus · Accepted Answer

One firm dominating in terms of market share, size, or value of assets is a common reason for there being few true mergers. In most cases, one firm is acquired by another, rather than two companies merging on an equal basis.

There Are Few True Mergers Because