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Problem 12

What is the goal of antitrust policies?

Problem 11

What is a corporate merger? What is an acquisition?


Antitrust laws are the laws and regulations that are imposed by government or authorities to
ensure the increased competitiveness in the market. It also helps observe and control mergers
and acquisition taking place between big or key firms.
A corporate merger is when two corporate firms firm join together to become one single firm.
Acquisition is buying of one firm by another.



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Video Transcript

Let's talk about some definitions. What's a corporate merger with a corporate merger is when you have to formally separate firms come together to become one. This, for example, would be the case. If A T and T and Verizon wanted to become one large firm, they could, and that would be considered a corporate merger. Right? Acquisitions, on the other hand, is when a firm bys another firm. For example, When, um, I think it's Verizon who bought MetroPCS. So now that was an acquisition. Similarly, when Disney board marvel and so this he has a lot off acquisitions, right, the acquisition. They gain the rights to Star Wars. And that was another acquisition. Um, but that's the difference between those 21 is a kind of a lateral agreement between two firm saying, OK, we're gonna come together and the other one is saying, Well, I'm going to buy your company, and I'm going to direct everything that's going to happen

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