Which of the following is not a reason for firms to diversify?
A)Sharing activities
B)Efficiently allocating internal capital
C)Increasing managerial compensation
D)Capturing more market share

Question

Quizplus · Accepted Answer

Diversification is typically pursued to share activities, allocate capital efficiently, and sometimes to increase managerial compensation, but capturing more market share is not a primary reason for diversification.

Which of the Following Is Not a Reason for Firms