Final answer:
In 2018, Magnolia Inc. faced strategic issues concerning the impact of a merger on consumer cost savings and the potential establishment of a strong oligopoly position by Kinder Morgan in the natural gas market.
Step-by-step explanation:
The strategic issues confronting Magnolia Inc. in 2018 revolve around the potential impact of a merger on the natural gas marketplace. One critical question is whether the new conglomerate would pass on cost savings to consumers, which is a key consideration for regulatory bodies and the public.
Another significant concern is whether the merger would give Kinder Morgan a strong oligopoly position, thereby potentially reducing competition and negatively affecting consumer prices and choices.