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2 billion. As part of its overall strategic plan, Sysco believed that merging with its largest rival would help reduce costs and allow savings to be passed on to customers. The deal would have created a single company valued at more than $65 billion in annual sales with 25% of the U.S. market.
The Federal Trade Commission (FTC) filed a lawsuit challenging the transaction on antitrust grounds, stating the merger would lead to higher prices and diminished service for restaurants, hotels, and schools that contract with the two food distributors. Recently a federal judge agreed with the FTC and blocked the merger, saying it would reduce competition and potentially harm businesses and consumers.
Less than a decade ago, AT