choose:

*managers personal incentives

*Diversification

*breakup value

*tax considerations

1. Rationale for mergers AaAa? 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 An acquirer buys a firm, liquidates it, and turns a handsome profit because the value of the firm's individual parts of sold off separately) is greater than its current market value If two firms merged, the value of the new company would xceed the current pre-merger values of the individual firms In 2009 Time Wamer 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. In January 2006, Adidas-Salomon AG, often referred to as Adidas, acquired US Reebok International Ltd., which helped them capitalize on Reebok's specialty products and become a dominant player in the women's apparel market. This gave Adidas increased market power and 1. Rationale for mergers AaAa? 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 An acquirer buys a firm, liquidates it, and turns a handsome profit because the value of the firm's individual parts of sold off separately) is greater than its current market value If two firms merged, the value of the new company would xceed the current pre-merger values of the individual firms In 2009 Time Wamer 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. In January 2006, Adidas-Salomon AG, often referred to as Adidas, acquired US Reebok International Ltd., which helped them capitalize on Reebok's specialty products and become a dominant player in the women's apparel market. This gave Adidas increased market power and