Diversification becomes a relevant strategic option for a company EXCEPT when it
A) spots opportunities to expand into industries whose technologies and products complement its present business.
B) leverages existing resources and capabilities by expanding into industries where these same resource strengths are key success factors and valuable competitive assets.
C) has a powerful and well-known brand name that can be transferred to the products of other businesses and thereby used as a lever for driving up the sales and profits of such businesses.
D) can open up new avenues for reducing costs by diversifying into closely related businesses.
E) expands into additional businesses that unlock possibilities for a comprehensive cost enhancement strategy.
Correct Answer:
Verified
Q1: Initiating actions to boost the combined performance
Q3: Diversification into new industries deserves strong consideration
Q4: In terms of strategy making, what is
Q5: The task of crafting a company's overall
Q6: An acquisition premium is the amount by
Q8: Which of the following is NOT one
Q9: Diversification into a new industry cannot be
Q10: To take advantage of cross-business value chain
Q11: Establishing investment priorities and steering corporate resources
Q19: It becomes particularly urgent for a company
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