Why has mergers become such a big thing since the turn of the century?

kingdom

summe cuum laude

they are seizing the means of our production

Crony Capitalism.

the old ways;

hostile takeovers
out-competing / out-performing the competition to "run them into the ground and out of business"

were getting too expensive

merger is quicker and more cost effective

It's been very common since the 1970's if not earlier.

Maybe, but it's a known fact that there were more mergers after 2000.

The bank I just started working for used to be a bank my grandpa used when he owned the biggest construction company in my city back in the 50s/60, and it had the same name when I got my first checking account. But since 2012, it has been bought out and changed names multiple times.

I mean that's just one example but I also worked for Cingular who bought AT&T and they call themselves AT&T, Disney bought Fox, I could go on and on but there's tons of mergers going on all the time.

Mergers happen in waves. When corporations have a lot of cash and no good use for it they frequently use it to buy other companies rather than build a company that already exists.

Easiest way to eliminate a potential competitor too. It allows you to keep market share, plus you now have a corporate shell to play with and inject all your debt into.

Whenever socialists are in charge known as Democrats expect a lot more of this as companies feel threatened, so they dump their stocks into a bigger company that is less likely to fail. At least in their minds. Remember all they look at are $ figures.

Purely because unless a company is growing, or forevasting more profit, then management is replaced.

Mergers are just a way to expedite growth and potential, and attract more capital, higher stock price etc.

Go back about 30 more years to Hemry Kravis, Marlboro, Nabisco, and another I dont recall at this moment.

Henry Kravis.
All you need to know.





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nry_Kravis

There used to be this thing in America called trust busting which was the govt breaking up monopolies. Now the govt works for those monopolies instead of the people and do everything they can to make it easier and more profitable to create a monopoly. They are actibely trying tk reduce your choices to a handfull of mega companies.

Sorry. It got chopped up.

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One word: consolidation. Blackrock and Vanguard own planet earth, your government and you.

bump