If a Diversified Firm Had Three Businesses and These Companies

question 52

Multiple Choice

If a diversified firm had three businesses and these companies shared a common marketing and service operation,as well as common technology and development,this would be an example of which type of economy of scope?

• A) Core competencies
• B) Shared activities
• C) Risk reduction
• D) Multipoint competition

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Definitions:

Wilmot Proviso

An unsuccessful 1846 proposal in the United States Congress that aimed to ban slavery in territory acquired from Mexico in the Mexican War.

Appeal of the Independent Democrats

A document issued in 1854 criticizing the Kansas-Nebraska Act and advocating for anti-slavery policies.

Mexican War

A conflict between the United States and Mexico from 1846 to 1848, resulting in the U.S. annexing territory that includes present-day California, Arizona, and New Mexico.

Foreign Soil

Foreign soil refers to land or territory under the sovereignty of a country other than one’s own.