The joining of two or more business entities that involve a change of their corporate structure is referred to as a merger or acquisition. They seek to improve internal efficiencies within the company to boost competence and productivity. However, there are key differences between an acquisition and a merger in terms of initiation, procedure, and conclusion.
When two or more organisations decide to combine forces to form a new company, this is known as a merger. Contrary, an acquisition occurs when a bigger, more financially secure firm buys out a smaller one.