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Which of the following is not a reason for merger and acquisition failures? a) The acquired company assets are poorly integrated into the acquiring company business lines b) Top executives act in their best interests rather than those of the shareholders c) The acquisition leads to value creation d) The acquiring company pays too high a premium for the common stock of the target company

Answer :

Nyctalus

Answer: The  acquisition leads to value creation

     

Explanation: In simple words, value creating refers to the process under which the company enhances its working image in the eyes of various stake holders.

It is one of the primary objectives of any organisation. Creating value in the eyes of customers help to sell the products in market while value creation for stakeholders increases the stock price and helps in generation of capital.

Hence it is not a failure of mergers and acquisition.

ayokenny2001

The acquisition leads to value creation is not reason for merger and acquisition failures

What is merger and acquisition?

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).

It is to be noted that  mergers and acquisitions result in the consolidation of assets and liabilities of two companies under one entity.

Hence, the acquisition leads to value creation is not reason for merger and acquisition failures.

Learn more about merger and acquisition here : https://brainly.com/question/26277900

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