The best justification for a merger is:
A) synergies.
B) stability.
C) the CEO's drive and enthusiasm.
D) internal growth.

Question

Quizplus · Accepted Answer

Synergies refer to the benefits of combining two companies, such as increased efficiency and cost savings. This is the most concrete and logical justification for a merger, as it provides clear tangible benefits for both companies involved. Stability, CEO drive and enthusiasm, and internal growth are all important factors to consider, but do not necessarily provide the same level of immediate and tangible benefits as synergies.

The Best Justification for a Merger Is