What would be an advantage of a horizontal merger within the industry?
a. Unrelated diversification is an advantage that can be achieved through acquisitions of companies who compete with the same product or service.
b. Acquisitions will increase the costs of a value chain; this cost increase can be countered by reducing administrative activities.
c. Horizontal mergers include purchasing smaller companies regardless of industry, product, or service offerings.
d. An advantage of a horizontal merger includes achieving operating economies.
Answer: d. An advantage of a horizontal merger includes achieving operating economies.
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a. True b. False
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