Business, Management and Accounting
4 years ago

Mergers Drive Down Prices, Improve Product Quality for Consumers

1 view
SSRN Electronic Journal
Acquisition Activity and Product Market Outcomes
Albert Sheen

Paper Summary

Merging companies in the same industry make their products more similar and lower prices over a few years. This happens more in industries that are not growing fast. When a company buys another in a different industry, prices don't go down. This shows that merging companies in the same industry want to save money and work better together.

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