Advange over the computer world

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Q1. Does a merger create any new value, that wasn't there before? Or is the merger done to lower AFC, and so ATC? Can we get growth in the economy overall from a merger, or do we just get all the sales accruing to one firm, instead of two?

Q2. If you were to look at two companies of different product,what was similar to Disney's situation when they need to rebuild under Micheal Eisner and achievements, to that of IBM when they fall in in 1970. What were there reason why IMB lost it advange over the computer world.

Reference no: EM138393

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