It happens when one firm is not efficient, say, because of its obsolete technology. Whereas the other firm is inefficient, say, Because of its poor managerial skill. If both the firms merge, themselves, efficiency will increase in the form of lower cost as it will collectively make use of better tecRead more
It happens when one firm is not efficient, say, because of its obsolete technology. Whereas the other firm is inefficient, say, Because of its poor managerial skill. If both the firms merge, themselves, efficiency will increase in the form of lower cost as it will collectively make use of better technology and better managerial skill.
How efficiency may increase if two firms merge?
It happens when one firm is not efficient, say, because of its obsolete technology. Whereas the other firm is inefficient, say, Because of its poor managerial skill. If both the firms merge, themselves, efficiency will increase in the form of lower cost as it will collectively make use of better tecRead more
It happens when one firm is not efficient, say, because of its obsolete technology. Whereas the other firm is inefficient, say, Because of its poor managerial skill. If both the firms merge, themselves, efficiency will increase in the form of lower cost as it will collectively make use of better technology and better managerial skill.
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