For an unrelated diversification strategy to produce financial results above that of stand-alone entities,executives must:
A) diversify into businesses that can produce consistently good earnings and returns on investment and thereby satisfy the attractiveness test.
B) negotiate favorable acquisition prices (to satisfy the cost-of-entry test) .
C) do a superior job of corporate parenting via high-level managerial oversight and resource sharing,financial resource allocation and portfolio management,or restructuring underperforming businesses (to satisfy the better-off test) .
D) satisfy the attractiveness test,the cost-of-entry test,and the better-off test.
E) All of these.
Correct Answer:
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