Buy custom Merger Activity in the EU
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| Topic: |
Business
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| Number of pages / Number of words: |
4 / 1044 |
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The larger company would also have the resources necessary for large-scale production or services.
Europe has been industrialized for a long time, so industries there are relatively mature. As an industry matures, there tends to be less and less innovation, due to the law of diminishing returns, a tendency (not really a law) that Turgot and Malthus anticipated...
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That law indicates that the longer an industry has been active, the less there is to improve upon it, since most improvements will have already been made. When this happens, one of the most obvious ways to increase profits is to cut costs by merging companies. Thus, it may be that the maturity of European industry has been a factor in the increased merger activity in the E...
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