Which of the following are antitakeover tactics that managers use? (Check all that apply.)Multiple…

➤ How does a poison pill work to block hostile takeovers?
A poison pill issues rights that activate when a bidder passes a share-ownership threshold. Existing shareholders, except the acquirer, can buy discounted shares or rights, diluting the bidder’s stake. Boards use this to make a takeover more expensive and to gain leverage in negotiations while seeking alternative bids or better terms.