What is an acquisition?

An acquisition is specifically defined as a process where one company purchases another, leading to a transfer of ownership. This typically involves one entity acquiring the majority or all of the shares of another company, thereby gaining control over its operations and assets. The nature of acquisitions often focuses on integrating the acquired company's resources, capabilities, and market reach into the purchasing entity.

While mergers can sometimes be similar, they imply a coming together of two companies to form a new entity, often under mutual agreement. Acquisitions, on the other hand, emphasize the purchasing company taking over another, which distinctly separates it from simply sharing resources or forming partnerships, as noted in the other options. Thus, the focus on purchase and ownership transfer makes this definition the most accurate understanding of an acquisition in the context of corporate transactions.