In 1998, the German auto manufacturer Daimler-Benz purchased Chrysler for $36 billion which was one of the biggest mergers of its kind back then. Both of these companies were in the automotive business. Even though they had different cultures and market focus, this merger is an example of a:_________

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04-02-2020
Business

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In 1998, the German auto manufacturer Daimler-Benz purchased Chrysler for $36 billion which was one of the biggest mergers of its kind back then. Both of these companies were in the automotive business. Even though they had different cultures and market focus, this merger is an example of a:_________

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osondumartins osondumartins · Answer 1 · 2020-02-04T09:42:37+01:00

Answer: HORIZONTAL MERGER

Explanation: HORIZONTAL MERGER is a type of merger that occurs between business Organisations which are in the same industry. Most horizontal mergers are done specially to gain strategic and competitive advantage over other business organizations in similar industries.

The merger between Daimler-Benz and Chrysler is a HORIZONTAL MERGER, Horizontal mergers can be achieved through purchase of parts of another by a given business.