ECO 550 Dis 8

Entering a Merger

From the scenario for Katrina’s Candies, examine the major implications for firms entering into a merger. Explain the criteria the U.S. Department of Justice and the Federal Trade Commission would follow when deciding on whether or not to approve a proposed merger.

Organizational Form

Examine two (2) organizational forms of business (e.g., functional, product, etc.). Predict the possible implications of the principal agent relationship for each of these organizational forms of business. Determine which of the organization forms would have more of an economic impact on the operations of the firm and its ability to maximize profits. Provide a rationale for your response.