6 Major Types of Merger applied by businesses in Corporate Strategy

Explore 6 Major Types of Merger applied by businesses in corporate strategy to achieve various objectives.

Occurs between companies with different products or services in the same market but not direct competitors. Example: A pharmaceutical and biotechnology company.

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Vertical Merger

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Occurs between companies operating in the same industry, selling similar products or services. Example: merger of two banks.

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Occurs when two companies with unrelated businesses and industries, in different regions, merge. Example: A banking company merging with a pharmaceutical company.

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Occurs when two companies in the same industry merge despite operating in different markets. Example: a furniture company in one country merging with another.

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Occurs between companies selling complementary products or services in the same market. Example: a mobile phone company merging with one selling accessories.

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Explore 6 Major Types of Merger applied by businesses in corporate strategy to achieve various objectives.

Occurs between companies with different products or services in the same market but not direct competitors. Example: A pharmaceutical and biotechnology company.

Congeneric Merger

Congeneric Merger

Vertical Merger

Vertical Merger

Involves two companies in the same industry but at different stages of production or supply chain. Example: merger of a car manufacturer with a tire manufacturer.

Occurs between companies operating in the same industry, selling similar products or services. Example: merger of two banks.

Horizontal Merger

Occurs when two companies with unrelated businesses and industries, in different regions, merge. Example: A banking company merging with a pharmaceutical company.

Conglomerate Merger

Conglomerate Merger

Occurs when two companies in the same industry merge despite operating in different markets. Example: a furniture company in one country merging with another.

Market Extension Merger

Market Extension Merger

Occurs between companies selling complementary products or services in the same market. Example: a mobile phone company merging with one selling accessories.

Product Extension Merger

Product Extension Merger