Answer:
The correct answer is A) A market share of over 50% from the combined companies
Explanation:
The Clayton Act of 1914 regulates acquisitions and mergers in the United States. This is the legal source that the Justice Deparment would use to approve or disapprove the merger described in the question. It explicitly forbids mergers that result in over 50% of market share, because it consideres a higher percentage than that (a market share from 50% to 99%) to configurate a monopoly.
The merger in the question would result in a 70% market share, way higher than the legal limit, hence it would be denied by the DOJ.
Answer:
<em>companies' operating performances can be compared by looking at each firm's EBIT, often referred to as</em><em> </em><em><u>operating</u></em><em><u> </u></em><em><u>income</u></em>
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<em>Operating</em><em> </em><em>income </em><em>is </em><em>the amount of profit after deduction operating expenses such as wages, depreciation, and cost of goods sold</em><em>.</em><em> </em><em>It </em><em>is </em><em>essentially</em><em> </em><em>revenue</em><em> </em><em>minus</em><em> </em><em>fixed </em><em>and </em><em>variable</em><em> </em><em>cost.</em>
Answer: Privatization.
Explanation:
The giant telecommunication company has experienced privatization as it's ownership has switched from public to private. Privatization occurs when a government owned business establishment is traded to a private individual/organization, therefore the owners of the business are private individuals.
Representativeness is one of the major reasons for conducting a test market is to achieve external validity, the test-market city should be an accurate representation of the marketing area where the final product distribution will take place.
More about Representativeness:
A smaller amount or a smaller portion of something larger is what is meant by a representative sample. It exhibits the same characteristics and ratios as a bigger population.
In scientific research, a representative sample might be made up of subjects or even chemical compounds that could be evaluated in a lab to determine the outcome of a specific chemical reaction.
Learn more about the representative here:
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Will make suppliers more likely to produce steel , thus shifting the supply curve to the right