Explore BrainMass

Explore BrainMass

    Motives for mergers

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    What are some of the financial and non-business motives for various corporate mergers?

    © BrainMass Inc. brainmass.com October 9, 2019, 6:00 pm ad1c9bdddf

    Solution Preview

    Non-financial motives for mergers are:

    1) To achieve dominant market share in a particular industry and achieve consolidation, such as the mergers happening in the telecommunciation industry between various carriers (Sprint/Nextel, SBC/ATT). Such mega mergers between major players result in dominant market share for the merged entity and results in consolidation of the industry, making it difficult for the smaller companies to survive. Such mergers result in significant strategic benefits and ...

    Solution Summary

    Motives for mergers are discussed in this solution.