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Details Title: chapter 7 Description: Acquisitions Total Flash Cards: 19 Created: 08/08/2007 20:59:31	To study from this set of flash cards, or to create your own your own study flash cards, register HERE. If you are already a registered user, CLICK HERE.
Cards Term horizontal acquisitions Definition purchase of competitor in the same market as the firm Term vertical acquisition Definition purchase of a supplier or distributer of a firm's goods Term takeover Definition an acquisition in which the company being bought company doesn't ask to be bought Term hostile takeover Definition company being bought reacts negatively to being bough Term merger Definition two companies combine on relativey equal basis Term ACQUISITIONS...MERGERS...TAKEOVERS Definition FREQUENCY FROM GREATEST TO LEAST Term target screening Definition deciding which of multiple acquisition opportunites are worth close examination Term target selection Definition focuses the acquiring firm on one target Term target negotiating Definition take place with the executive of the targeting firm Term due diligence Definition rational process by which acquiring firms evaluate target firms Term leveraged buyout Definition restructuring strategy in which a party buys all or part of a firm's assets in order to take the firm or a part of a firm private Term foreign direct investment Definition process through which a firm directly invess in a market outside its home country Term liability of foreignness Definition cost and risk of doing business outside a firm's domestic market Term multidomestic strategy Definition an action plan that the firm develops to produce and sell unique products in different markets Term global strategy Definition an action plan that the firm develops to produce and sell standardized products in different markets Term transnational strategy Definition produce and sell somewhat unique and somwhat standardized products in different markets Term exporting Definition process of sending goods and servies from one country to another for sale Term licensing Definition entering an international market by leasing the right to use the firm's intellectual property to a firm doing business in the desired international market Term franchising Definition licensing of a good or service and business model to partners for specified fees