Front

What does the European Union do to ensure fairness in a free market?

Back

The EU has competition policies that approve mergers and acquisitions of large companies.

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What is the advantage of large companies in a free market?

Back

Large companies can take advantage of economies of scale, reducing unit costs and selling products at lower prices.

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What is internal growth in a business?

Back

Internal growth is when a company uses its own resources to expand, acquiring new assets or establishing new products.

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What is a merger?

Back

A merger is when two or more businesses join together to form one company.

Front

What is external growth in a business?

Back

External growth is when a business grows rapidly through integration with other organizations, often through mergers or acquisitions.

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What is an acquisition or takeover?

Back

An acquisition is when one business buys another, which can be a complete takeover or buying shares.

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What is a joint venture?

Back

A joint venture is when companies collaborate and jointly invest in a separate business or project.

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What is horizontal integration?

Back

Horizontal integration happens when businesses at the same stage of production join together.

Front

What is vertical integration?

Back

Vertical integration happens when a business joins with another that operates at a different stage of production.

Front

What can happen during a hostile acquisition?

Back

A hostile acquisition is when a company gains control over another without its consent.