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In the case of conglomerate mergers, the two parties are not usually in direct competition with each other.
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In the case of conglomerate mergers, the two parties are not usually in direct competition with each other.
There are many reasons for firms to want to merge, which include increasing market share, synergy and cross selling. Firms also merge to diversify and reduce their risk exposure. However, if a conglomerate becomes too large as a result of acquisitions, the performance of the entire firm can suffer. This was seen during the conglomerate merger phase of the 1960s.
конгломератне злиття