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8 September, 08:51

The difference between a merger and an acquisition is that:Question 21 options:1)

a merger is the combining of two or more companies into a single corporate entity, whereas an acquisition involves one company (the acquirer) purchasing and absorbing the operations of another company (the acquired).

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  1. 8 September, 09:35
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    Merger is the combining of two or more companies into a single corporate entity, whereas an acquisition involves one company (the acquirer) purchasing and absorbing the operations of another company (the acquired). Mergers and acquisitions between two companies are the part of the strategic management process to increase the market share or profit in the industry in that particular market zone. There is a small different as mentioned above that when two companies are combined to form a single unit, it is known as merger, while in Acquisition, when one company purchase other company and no new company is formed, but one company has been absorbed into another.
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