Which example of a merger or an acquisition represents a shortcut to g

QUESTION

Which example of a merger or an acquisition represents a shortcut to growth?

A) Two pharmaceutical companies merge and hire a new CEO.
B) A vinyl siding company buys a brick repointing company.
C) Pablo’s Paving buys Acme Asphalt and lays off human resource workers.
D) Lucy’s Loggers takes over the struggling Lucky Lumber for tax breaks.
E) A seafood distributor buys Mike’s Mussels to land manager Mike.

ANSWER

Answer: B
Explanation: B) When the vinyl siding company buys the brick repointing company, it gains a capability it did not have, giving it a shortcut to growth by acquiring, rather than developing, a capability.