Many corporate acquisitions result in losses to the acquiring firms' stockholders. Accordingly, why do firms purchase other corporations? Are they simply paying too much for the acquired corporation? A co-worker asks your opinion. Specifically state the reasons for your argument.© BrainMass Inc. brainmass.com June 3, 2020, 7:06 pm ad1c9bdddf
First question, why do firms purchase other corporations? Answer: So that they can grow in an inorganic manner. By this I mean that there are two main ways that one's company can grow. 1) organically - by growing your own ...