When the growth demands of a new venture differ from those of the parent's existing businesses:
A) the risk of failure is lower
B) management's experience is less applicable
C) the venture presents a weak opportunity
D) none of the above

Question

Quizplus · Accepted Answer

Management's experience is less applicable when the growth demands of a new venture differ significantly from those of the parent company's existing businesses. This is because the skills, knowledge, and strategies that worked for the parent company's original market may not be as effective in the new venture's market.

When the Growth Demands of a New Venture Differ from Those