hostile-takeover

Vocabulary Word

Definition

In business, a 'hostile takeover' is when one company tries to buy another company, even though the company being bought doesn't want to be bought.

Examples in Different Contexts

In business strategy, a 'hostile takeover' is pursued through direct offers to shareholders or fighting to replace management to gain control. A business consultant might discuss, 'Hostile takeovers can sometimes unlock hidden value in underperforming companies, though they often come with significant risk and public relations challenges.'

Practice Scenarios

Impact

Scenario:

There's pressure from the corporations for control over our nonprofit. We need to maintain our core values and mission.

Response:

We must rally our supporters to prevent the hostile takeover and preserve the integrity of our cause.

Tech

Scenario:

The large software giant is eyeing our startup. It could be a potential threat to our independence.

Response:

We should raise additional capital to strengthen our position and thwart any hostile takeover attempt.