Companies that base their diversification strategy on transferring competencies tend to acquire new businesses that are to their existing business activities.
A)unrelated
B)not comparable
C)opposed
D)related
E)identical

Question

Quizplus · Accepted Answer

Companies that transfer competencies tend to acquire new businesses that are related to their existing business activities, as they can leverage their existing capabilities and skills to succeed in the new market. This helps them to achieve synergies and gain competitive advantage.

Companies That Base Their Diversification Strategy on Transferring Competencies Tend