merger and acquisition

A merger occurs when two companies combine to form a new, single entity, often to grow their resources and market reach. An acquisition happens when one company purchases another, integrating it into its operations. Both strategies aim to improve competitiveness, access new markets, or achieve synergies. Mergers are typically cooperative, forming a new organization, while acquisitions can be friendly or hostile, with the acquiring company taking control. These processes are common in business to enhance growth, optimize resources, and increase shareholder value.