If the acquiring firm and acquired firm are not related to each other, then the acquisition is known as a(an):
A) consolidation.
B) aggregation.
C) takeover.
D) conglomerate acquisition.

Question

Quizplus · Accepted Answer

A conglomerate acquisition occurs when the acquiring firm and the acquired firm are in unrelated business activities, indicating a diversification strategy by the acquiring company.

If the Acquiring Firm and Acquired Firm Are Not Related