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Other Fields Homework Help Business Topic started by: goji.go on Jul 16, 2013



Title: Which of the following is ALWAYS TRUE about the purchases of existing businesses
Post by: goji.go on Jul 16, 2013
Which of the following is ALWAYS TRUE about the purchases of existing businesses?
A) Once under new ownership, existing businesses outperform initial revenue projections.
B) Once under new ownership, any underlying problems are the responsibility of the new owner.
C) Once under new ownership, consumer curiosity about the new ownership will cause a spike in sales.
D) Once under new ownership, remaining staff are suspicious or fearful of the new owner.
E) Once under new ownership, existing customers will be resentful toward the new owner.


Title: Re: Which of the following is ALWAYS TRUE about the purchases of existing businesses
Post by: bbb on Jul 17, 2013
B) There is no way to predict in advance exactly how a business will perform once it is purchased. Some business will do better than expected; others may initially do worse. Any problems that do arise are the responsibility of the new owner; therefore, a careful due diligence process prior to purchase is essential.


Title: Re: Which of the following is ALWAYS TRUE about the purchases of existing businesses
Post by: goji.go on Jul 18, 2013
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Title: Re: Which of the following is ALWAYS TRUE about the purchases of existing businesses
Post by: bbb on Jul 18, 2013
No worries, please mark as solved.