Passage 4 The world is going through the biggest wave of mergers and acquisitions ever wit

Passage4Theworldisgoingthroughthebiggestwaveofmergersandacquisitionseverwitnessed.TheprocesssweepsfromhyperactiveAmericatoEuropeandreachestheemergingcountr ieswithunsurpassedmight.Manyinthesecountr iesarelookingatthisprocessandworrying:“Won'tthewaveofbusinessconcentr ationturnintoanuncontr ollableanti-competitiveforce?"

There'snoquestionthatthebigaregettingbiggerandmorepowerful.Multinationalcorporationsaccountedforlessthan20%ofinternationaltr adein1982.Todaythefigureismorethan25%andgrowingrapidly.Internationalaffiliatesaccountforafastgrowingsegmentofproductionineconomiesthatopenupandwelcomeforeigninvestment.InArgentina,forinstance,afterthereformsoftheearly1990s,multinationalswentfrom43%toalmost70%oftheindustr ialproductionofthe200largestfirms.Thisphenomenonhascreatedseriousconcernsovertheroleofsmallereconomicfirms,ofnationalbusinessmenandovertheultimatestabilityoftheworldeconomy.

IbelievethatthemostimportantforcesbehindthemassiveM&Awavearethesamethatunderlietheglobalizationprocess:fallingtr ansportationandcommunicationcosts,lowertr adeandinvestmentbarriersandenlargedmarketsthatr equireenlargedoperationscapableofmeetingcustomers'demands.Allthesearebeneficial,notd etr imental,toconsumers.Asproductivitygrows,theworld'swealthincreases.

Examplesofbenefitsorcostsofthecurrentconcentr ationwavearescanty.YetitishardtoimaginethatthemergerofafewoilfirmstodaycouldrecreatethesamethreatstocompetitionthatwerefearednearlyacenturyagointheU.S.,whentheStandardOiltr ustwasbrokenup.Themergersoftelecomcompanies,suchasWorldCom,hardlyseemtobringhigherpricesforconsumersorareductioninthepaceoftechnicalprogress.Onthecontr ary,thepriceofcommunicationsiscomingdownfast.Incars,too,concentr ationisincreasing—witnessDaimlerandChrysler,RenaultandNissan—butitd oesnotappearthatconsumersarebeinghurt.

Yetthefactr emainsthatthemergermovementmustbewatched.Afewweeksago,AlanGreenspanwarnedagainstthemegamergersinthebankingindustr y.Whoisgoingtosupervise,regulateandoperateaslenderoflastr esortwiththegiganticbanksthatarebeingcreated?Won'tmultinationalsshiftproductionfromoneplacetoanotherwhenanationgetstoostr ictaboutinfringementstofaircompetition?Andshouldonecountr ytakeuponitselftheroleof“defendingcompetition"onissuesthataffectmanyothernations,asintheU.S.vs.Microsoftcase?

第63题：Whatisthetypicaltr endofbusinessestoday?

Atotakeinmoreforeignfunds

Btoinvestmoreabroad

Ctocombineandbecomebigger

Dtotr adewithmorecountr ies