The idea of corporate mergers and
acquisition have become latest development and decisions among those probable
solutions that corporate manager would proffer to avoid sudden demise of badly
managed companies. Merger and Acquisition offer a situation where bigger company
with greater competitive strength may deem it fit to acquire a smaller company with
high standard, and resources but with little growth owing to stiff competition. It must
be noted that, it is not only when company is inefficiently managed that suggestion of
merger and acquisition will become applicable.