Which of the following reflects a common strategy of mergers and acquisitions?

The selected answer reflects a prevalent strategy in mergers and acquisitions where companies seek to consolidate their market position. By merging with or acquiring competitors, firms can reduce competition, which often allows them to gain a larger market share and influence pricing strategies. This strategy is pursued with the intent of creating a more dominant player in the market, which can lead to increased pricing power and profitability.

In contrast, promoting fair competition, increasing consumer choice, or encouraging smaller businesses often contradict the motivations behind mergers and acquisitions. These approaches typically focus on maintaining a diverse marketplace and supporting numerous businesses, which is often not the primary goal when large corporations consider merging or acquiring other companies. The intent is usually centered around efficiency, market control, and maximizing returns, making the elimination of competition a common and strategic element in these business maneuvers.