Which one of the following is NOT an important aspect of evaluating the merits of a diversified company's strategy?
A) assessing the competitive strength of each business the company has diversified into
B) determining which business units are cash cows and which ones are cash hogs, and then evaluating how soon the company's cash hogs can be transformed into cash cows
C) evaluating the strategic fits and resource fits among the various sister businesses
D) assessing the attractiveness of the industries the company has diversified into, both individually and as a group
E) ranking the performance prospects of the businesses from best to worst and deciding what priority to give each of the company's business units in allocating resources

Question

Quizplus · Accepted Answer

While determining which business units are cash cows and which ones are cash hogs is important, evaluating how soon the company's cash hogs can be transformed into cash cows is not a crucial aspect of evaluating the merits of a diversified company's strategy. The other options listed are all important factors to consider when evaluating a diversified company's strategy.

Which One of the Following Is NOT an Important Aspect