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Academics and practitioners have identified several major reasons that drive firms' merger, acquisition, and breakup decisions. Correctly identify the term or motive for the merger
Academics and practitioners have identified several major reasons that drive firms' merger, acquisition, and breakup decisions. Correctly identify the term or motive for the merger and acquisition with its description. Term or Motive for Merger Description Acquire You Corp. bought AcquireMe Inc., which has assets with a value considerably lower than its market value. A firm acquires a foreign subsidiary in an effort to stabilize earnings. In 2009 Time Warner Inc. announced the split-off of its ownership in Time Warner Cable and its AOL unit with the expectation that the split-off divisions would operate better and more profitably as independent entities. Mpisal Inc.'s managers have kept a target of growing the company by 20% by acquiring smaller firms. They believe that they can earn higher salaries if the company is bigger
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