Amalgamation Number of questions: 6 Types of questions: Multiple choice Time to complete: 2 minutes Click on 'Next' button when you are ready. What does the term 'amalgamation' refer to in the context of businesses? The process of creating a new company by combining two or more companies The process of selling a company's assets to another company The process of merging a company's product lines with another company The process of two companies sharing their management teams Which of the following is a potential advantage of amalgamation? Reduced competition in the market Increased management complexity Difficulty in merging corporate cultures Lower likelihood of cost savings How does amalgamation benefit companies in terms of economies of scale? By making it more difficult to produce goods at a lower cost By increasing the company's overall debt By allowing the combined entity to achieve greater production efficiency By making it easier for the company to secure funding What is a potential disadvantage of amalgamation related to employees? Better job security Increased opportunities for promotion Higher employee morale Job losses due to redundancy Which of the following is a potential effect of amalgamation on the market? Increased competition Lower market concentration Creation of monopolies or oligopolies Decreased barriers to entry for new businesses Which of the following is a potential benefit of amalgamation for shareholders? Increased risk of financial loss Reduced liquidity in the stock market Enhanced shareholder value Higher likelihood of corporate fraud Enter your email address Name
