Semway, a regional bank, recently announced that it would soon begin offering financial planning services. This is an example of which of these?
A) Related diversification
B) Unrelated diversification
C) Cross-functional diversification
D) Product line diversification
E) Industry diversification

Question

Quizplus · Accepted Answer

Related diversification involves a company expanding into a new business that is related to its existing business. In this case, Semway is expanding its services to include financial planning, which is related to its existing business as a regional bank.

Semway, a Regional Bank, Recently Announced That It Would Soon