Why does Form 1023 ask for information about successor organizations?

Line 1, Part VII, asks whether an organization is a successor (as defined in the instructions) to another organization, for-profit or non-profit. If an organization answers yes, it must complete Schedule G, which requests detailed information about the predecessor organization, transfers of assets and any continuing relationship.  Generally speaking, the purpose of Schedule G is to obtain information about whether a transaction creating a successor organization resulted in benefit to private shareholders or individuals associated with the predecessor organization.