What does acquisition mean in business terms?

In business terms, acquisition refers specifically to one company purchasing another company, which directly aligns with the chosen answer. An acquisition typically involves the buyer gaining control over the target company's assets and operations, leading to a consolidation of resources, market presence, and strategic advantages. This process allows the acquiring firm to integrate the acquired company's operations into its own, enhancing its overall market share or entering new markets.

The other choices address different concepts in business. For example, joining two or more companies relates more to mergers, which can include acquisitions but generally implies a partnership or cooperation rather than one firm taking over another. Investing in a new product focuses on product development and innovation rather than the takeover of another company. Realigning company resources refers to reorganizing or reallocating existing resources within a company for efficiency and effectiveness, rather than purchasing another entity. Understanding these distinctions is crucial in recognizing the specific nature of an acquisition in the broader landscape of business transactions.