Many corporate acquisitions result in losses to the acquiring firms’ stockholders. A coworker has asked you to explain what a firm would gain from purchasing another corporation. Explain to the coworker the fundamentals of corporate acquisitions.
Discussion Board Assignment Guidelines:

Research corporate acquisitions using your text, course      materials, and Web resources and then answer the following questions: 

Why do firms purchase other corporations?
Do firms pay too much for the acquired corporation?
Why do so many acquisitions result in shareholder       losses?   

Many corporate acquisitions result in losses to the acquiring firms’ stockholders. A coworker has asked you to explain what a firm would gain from purchasing another corporation. Explain to the coworker the fundamentals of corporate acquisitions.
Discussion Board Assignment Guidelines:

Research corporate acquisitions using your text, course      materials, and Web resources and then answer the following questions: 

Why do firms purchase other corporations?
Do firms pay too much for the acquired corporation?
Why do so many acquisitions result in shareholder       losses?