Asked by Kerosi Giddy on May 05, 2024
Verified
Which of the following are the most important issues in merger negotiations?
A) post-merger control of the firm
B) post-merger control and the severance packages of laid-off staff
C) the negotiated price paid by the acquiring firms
D) both a and c
Merger Negotiations
The process of discussing and reaching an agreement between two or more companies to combine their operations and form a single entity.
Post-merger Control
The governance and management practices in place after two companies have completed a merger.
Severance Packages
Compensation given to an employee after termination, which may include monetary payments, benefits, or other compensation.
- Identify the key issues in merger negotiations and their implications.
Verified Answer
CF
Chelysamira FigueroaMay 10, 2024
Final Answer :
D
Explanation :
Post-merger control of the firm and the negotiated price paid by the acquiring firms are both important issues in merger negotiations. Severance packages for laid-off staff may also be a concern, but it is not necessarily one of the most important issues.
Learning Objectives
- Identify the key issues in merger negotiations and their implications.