140k views
2 votes
What are the reasons media companies merge?

User Bouh
by
8.6k points

1 Answer

3 votes

Final answer:

Media companies merge for reasons such as expanding their reach, improving efficiency, acquiring new content or technology, competing with rivals, or rebranding.

Step-by-step explanation:

Media companies merge for various reasons:

  1. To make the company larger: Merging with another company allows media companies to expand their reach and audience.
  2. To become more efficient: Mergers can lead to cost savings and economies of scale.
  3. To acquire a new product line: By merging with another company, media companies can gain access to new content or technologies.
  4. To catch up or eliminate rivals: Merging can help media companies stay competitive by either matching or surpassing their rivals.
  5. To lose its corporate identity: In some cases, a company may choose to merge in order to rebrand or change its identity.

User HelloWindowsPhone
by
7.9k points

No related questions found

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.