The correlation between mergers and acquisitions and the business life cycle

Currently the mergers and acquisitions activity is one of the most common ways of business development. The mergers and acquisitions are applied as an effective mechanism of corporate management providing access to new technologies and markets, decreasing administration expenses and field costs, enhancing competitive capacity and growth rates of companies. The correlation of the mergers and acquisitions and the corporate life cycle is rather complicated and ambiguous, and it should necessarily be taken into consideration in current management practices.