Corporate strategy influences how large and how diversified firms will be.

Question

Quizplus · Accepted Answer

Corporate strategy is a long-term plan of action that determines the scope and direction of an organization. It influences decisions such as whether to expand or narrow the scope of business activities, merge with or acquire other companies, or divest from certain businesses. These decisions ultimately determine the size and degree of diversification of the firm.

Corporate Strategy Influences How Large and How Diversified Firms Will