ENTREPRENEURIAL OPERATIONS
HUMAN RESOURCE MANAGEMENT
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
True
|
|
|
False
|
|
|
Either A or B
|
|
|
None of the above
|
Detailed explanation-1: -Objective behind Synergies Synergies not only provide that short-cut, but also offer an excellent means through which the benefits of the deal can be communicated to shareholders and investors. Overall, synergy is the potential financial benefit achieved when two companies merge.
Detailed explanation-2: -If two companies can merge to create greater efficiency or scale, the result is what is sometimes referred to as a synergy merge. The expected synergy achieved through a merger can be attributed to various factors, such as increased revenues, combined talent and technology, and cost reduction.
Detailed explanation-3: -Negative synergy examples Negative synergy occurs when the combined firm’s revenue is lower than the value of each company operated separately. In 1994 Quaker Oats acquired Snapple for $1.7 billion.
Detailed explanation-4: -Revenue Synergies. Cost Synergies. Financial Synergies.