The analysis of firms pursuing a strategy of ________ is logically equivalent to the analysis of business-level strategies.
A) unrelated diversification
B) related-linked diversification
C) related-constrained diversification
D) limited corporate diversification

Question

Quizplus · Accepted Answer

Limited corporate diversification involves a firm expanding into new businesses that are related to its existing businesses, but only to a limited extent. This is similar to business-level strategies, which involve a firm pursuing a competitive advantage within a specific industry or market segment. Therefore, the analysis of firms pursuing a strategy of limited corporate diversification is logically equivalent to the analysis of business-level strategies. Options A, B, and C involve more extensive forms of diversification which go beyond the scope of business-level strategies.

The Analysis of Firms Pursuing a Strategy of ________ Is