--%>

Consumers advocates expressed concern on merger possibility

Consumer's advocates expressed concern over such merger possibilities. Elucidate this statement.

E

Expert

Verified

Reason because the customer advocates have shown the concern over probable mergers has been due to lot of people feel that the corporations might raise a huge amount of capital for absorbing the small ones & might combine as well as collude among the other firms for inhibiting the competition.

Through doing those things this may cause customers towards paying the high prices & being without some choices for similar product. The threat of a monopoly power mat came into existence if the company gains a lot of control of market for some commodity & service. Leaving customer with lesser choices may cause a lot of unhappy consumers as well as they tend towards staying away from new entrants.

   Related Questions in Finance Basics

  • Q : Technological improvement of production

    Normal 0 false false

  • Q : Influence of opportunity costs How do

    How do opportunity costs influence the capital budgeting decision-making procedure? Opportunity costs reflect the foregone benefits of alternative not selected when a capital budgeting project is chosen. Any decrease in the cash flows of the fi

  • Q : Increased common stock cash dividend

    Do you trust an increased common stock cash dividend can send any signal to the common stockholders? If so, what signal might it send? An increase in cash dividends is frequently seen as a positive signal. A company would be unlikely to raise

  • Q : What is Final Budget Final Budget :

    Final Budget: Usually refers to the Governor’s Budget as amended by actions taken on the Budget Bill (example, legislative changes, and Governor’s vetoes). Note

  • Q : State Schedule 11 Schedule 11 : It is

    Schedule 11: It is the outdated word for “Supplementary Schedule of Operating Expenses and Equipment.”

  • Q : Describe how firm search optimal level

    Describe how a firm find out the optimal level of current assets. The optimal level of working capital is finding out by determining the amount that balances the requirement for liquidity and for profitability.

  • Q : Production possibilities curve based

    Given is a production possibilities table for consumer goods (automobiles) and capital goods (forklifts): Illustrates these data graphica

  • Q : Define Allocation Allocation : The

    Allocation: The distribution of funds or costs from one account or misuse to one or more accounts or appropriations (example, the allocation of employee compensation funding from the statewide 9800 Budget Act items to the departmental Budget Act items

  • Q : Define Special Funds Special Funds :

    Special Funds: For legal base budgeting purposes, funds produced by statute, or administratively per Government Code Section 13306, employed to budget and account for taxes, licenses, and fees which are restricted by law for specific activities of the

  • Q : What is in store for banking

    What is in store for banking consolidation? Merger activity is a natural procedure by which companies make themselves more efficient and better capable to compete for customers. The banking industry is no exception