Strategic Acquisitions

6. Defensive Strategies

You can use acquisitions strategically, to block your competitors and to protect your allies.

6.1 If you acquire a direct competitor, you remove a potential brake on prices.

• You may be able to put your own prices up, or at least hold them steady.

6.2 If you acquire a business that competes for resources with yours, you may be able to limit the growth in costs.

6.3 You might consider an acquisition to protect a trading partnership.