The three tests for judging whether a particular diversification move can create value for shareholders are the
A) industry attractiveness test,the profitability test,and the shareholder value test.
B) strategic fit test,the competitive advantage test,and the return on investment test.
C) resource fit test,the profitability test,and the shareholder value test.
D) attractiveness test,the cost-of-entry test,and the better-off test.
E) shareholder value test,the cost-of-entry test,and the profitability test.
Correct Answer:
Verified
Q1: Diversification into new industries deserves strong consideration
Q2: Which one of the following is not
Q3: A joint venture is an attractive way
Q4: To test whether a particular diversification move
Q5: The attractiveness test for evaluating whether diversification
Q7: Diversification merits strong consideration whenever a single-business
Q9: Diversification into a new industry cannot be
Q10: Diversification ought to be considered when a
A)company's
Q11: Acquisition of an existing business is an
Q18: Diversifying into new businesses can be considered
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