Which of the following statements is true of corporate strategy?
A) The objective of corporate-level strategy is to ensure that the sum of the values of individual business units is greater than the overall corporate value.
B) A corporate strategy must be able to create synergies across business units that are quite different.
C) Formulating a corporate strategy involves general managers answering questions relating to how to compete in order to achieve superior performance.
D) Deciding whether to adopt a differentiation or a cost-leadership strategy is part of formulating the corporate strategy.

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.

Which of the Following Statements Is True of Corporate Strategy