--%>

Reason for negative synergistic gains

State the reason for negative synergistic gains for British acquisitions of the U.S. firms?

E

Expert

Verified

Negative synergies for British acquisitions of the U.S. firms can reflect that the British managers would have been motivated in order to invest in the U.S. firms to pursue their own interests, like building the corporate empire, rather than shareholders’ interests. Negative synergy is viewed as the agency costs.

   Related Questions in Financial Accounting

  • Q : Indirect world systematic risk Define

    Define and explain indirect world systematic risk.

  • Q : Define Conspicuous Consumption

    Conspicuous Consumption: It is the phenomena of spending money on services and goods which are not required but keeping them gives you a high social status. Those things are kept mainly for the purpose of displaying and creating a false image of your

  • Q : Explain Agricultural business Explain

    Explain the term Agricultural business in term of Accounting?

  • Q : Economic exposure How economic exposure

    How economic exposure can be defined in order to exchange the risk?

  • Q : Creativity and the Individual What are

    What are the various aspects of Creativity on an individual in the creative industry ?    

  • Q : Monetary approach to determine exchange

    Derive and explain monetary approach in order to determine the exchange rate.

  • Q : Partner Reflection HRD Programs If you

    If you are working with a partner for your assignment, please answer the following questions individually and submit your paper separately.1. Why did you want to work together? 2. How did you di

  • Q : What bid price per widget should you

    You are required to submit a bid to supply 200,000,000 widgets per year to the State of Illinois for the next five years. Your company has an idle tract of real estate that cost $1,500,000 ten years ago; if your company sold the land

  • Q : Explain Return on Assets or ROA Return

    Return on Assets (ROA): It is an indicator of how gainful a company is associative to its net assets. ROA provides an idea as to how proficient management is at employing its assets to produce earnings. Computed by dividing a company's annual earnings

  • Q : The cost of the new PPE purchased The

    The following information is taken from the financial statements of an entity: 20x4 20x3 Property, plant and equipment $4,600,000 $4,200,000 Accumulated depr