The forces driving so many deals are as varied and unique as the firms themselves. These independent ventures are literally popping up overnight. Another powerful driver for mergers is the insatiability of consumers. Customer demand requires a company to be more than just competitive. Successful firms must also have a closet full of new products and production techniques waiting for introduction and implementation.
Innovations are critical to helping firms keep and increase their share of the market.
Companies are also driven to purchase other entities that sell complementary products, thereby increasing the market share of their primary products through associated selling of compatible ones. Conversely, what better way to divest a company of its unproductive segments than to sell off the undesired portions of a business. One sector where this phenomenon occurs frequently is telecommunications. New technologies have simultaneously driven down costs and created better services that have driven up demand. Global companies need telecommunications service providers who can deliver new technological services on a global scale.