The joining of firms that are producing or selling a similar product is
A) competition by merger.
B) a vertical merger.
C) a horizontal merger.
D) a hostile takeover.

Question

Quizplus · Accepted Answer

A horizontal merger is the joining of companies that are producing or selling a similar product or service. It is different from a vertical merger, which involves firms at different stages of the supply chain, and a competition by merger, which is an attempt to reduce competition by merging with a rival company. A hostile takeover is a type of merger or acquisition in which the acquiring company takes over the target company without the approval or cooperation of the target company's management.

The Joining of Firms That Are Producing or Selling a Similar