To increase production capacity and provide consumers with market stability, Exxon and Mobil created ExxonMobil. What type of merger is this?
A) a horizontal merger
B) a limited liability merger
C) a vertical merger
D) a conglomerate merger

Question

Quizplus · Accepted Answer

A horizontal merger occurs when two companies operating in the same industry or producing similar products or services combine, as was the case with Exxon and Mobil, both being major players in the oil and gas industry. This type of merger aims to increase market share and reduce competition.

To Increase Production Capacity and Provide Consumers with Market Stability