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Why was it a good idea that Safeway and Morrisons merged?
Member rating: No Rating | Words: | Submitted: Thu Aug 17 2006
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Why was it a good idea that Safeway and Morrisons merged? Why was it a good idea that Safeway and Morrisons merged? A merger is the amalgamation of two or more firms into a single business, with the approval of the shareholders and management concerned; it brings together to companies which agree to assimilate production under a single board of directors. Mergers commonly happen because the companies involved believe that the resources (capital, possessions, income and wealth) of the separate companies could be managed more efficiently as a combined enterprise. This new corporate will try its best to retain its original identity. Businesses may wish to expand for the Benefit from economies of scale; this means that there are lower unit costs due to an increase in the size of the firm. Businesses may be interested in gaining larger market share meaning that they can charge higher prices and gain more profit....
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