Carrvour Inc.is a company that manufactures steel, cement, cars, and consumer electronics under a single brand.The top management at Carrvour has decided to enter the banking and insurance industry based on its assessment of the profit potential in that industry.Which of the following strategies does this best illustrate?

Question

Quizplus · Accepted Answer

Corporate executives at headquarters formulate corporate strategy. They need to formulate a strategy that can create synergies across business units that may be quite different, and determine the boundaries of the firm by deciding whether to enter certain industries and markets and whether to sell certain divisions.