trans globe airlines recently merged with royal blue airlines, a financially troubled rival. the firms…

trans globe airlines recently merged with royal blue airlines, a financially troubled rival. the firms management believes the merger will create a stronger company that can offer travelers more flights to a wider variety of destinations. this proposed merger is an example of a _______. leveraged buyout horizontal merger conglomerate merger joint venture

trans globe airlines recently merged with royal blue airlines, a financially troubled rival. the firms management believes the merger will create a stronger company that can offer travelers more flights to a wider variety of destinations. this proposed merger is an example of a _______. leveraged buyout horizontal merger conglomerate merger joint venture

Answer

Brief Explanations:

A horizontal merger occurs between firms in the same industry. Trans Globe Airlines and Royal Blue Airlines are both in the airline - industry. A leveraged buyout involves acquiring a company using a significant amount of borrowed money. A conglomerate merger is between firms in different industries. A joint venture is a business arrangement where two or more parties agree to pool their resources for a specific task.

Answer:

B. horizontal merger