WORD OF THE DAY: WARRANT - a security which gives the holder the right to purchase shares in a company at a pre-determined price. A warrant is a long term option, COMMONLY valid for several years or indefinitely. Typically, wa ... More
1. ) pertains to the purchase or buy out of relatively smaller companies in a sector by a rapidly growing company in the same sector. The strategy is to create economies of scale. For instance, the movie theater industry underwent significant consolidation in the 1960s and 1970s.