Strategic fit between two or more businesses exists when one or more activities comprising their respective value chains present opportunities
A)to prevent the transfer of expertise or technology or capabilities from one business to another.
B)to independently preserve common brand names from cross-business usage.
C)to increase costs by combining the performance of the related value chain activities of different businesses.
D)for cross-business collaboration to build valuable new resource strengths and competitive capabilities.
E)to maintain business value chain activities separate and apart from one business to another to protect company independence.

Question

Quizplus · Accepted Answer

Strategic fit between two or more businesses exists when there is an opportunity for cross-business collaboration to build valuable new resource strengths and competitive capabilities. This means that the businesses can work together to create a mutually beneficial relationship where they can leverage their strengths and capabilities to achieve greater success than they would on their own. Options A, B, C, and E are all incorrect as they do not describe the concept of strategic fit.

Strategic Fit Between Two or More Businesses Exists When One