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by Phillipharryt
1939 days ago
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In economic theory there is no benefit to diversification (which is what a company does when it absorbs another company) unless there are organisational improvements shared between the companies. If the acquired company is truly completely unrelated there would be no benefit at all as Apple isn't able to improve the running of an unrelated company. Being bought out by Apple might be a nice outcome for any company's shareholders (as they might get a premium on the their share prices), but technically there would be no improvement to the business in terms of expected revenue. |
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