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प्रश्न
Differentiate between ‘merger’ and ‘acquisition’ as forms of external expansion
फरक स्पष्ट करा
उत्तर
| Merger | Acquisition |
| A merger is a combination of two companies into one larger company. | An acquisition is taking control of a company, leading to its takeover. It could be an acquisition of tangible assets, intangible assets, rights and other kinds of obligations. |
| All the combining companies are dissolved and only the new entity continues to operate. | Acquisitions are often made as part of a company's growth strategy whereby it is more beneficial to take over an existing firm's operations and niche compared to expanding on its own |
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Growth Through Mergers and Acquisitions (M and A)
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