Compared with Diversification Based on Intangible Resources, Diversification Based on Financial

question 87

Multiple Choice

Compared with diversification based on intangible resources, diversification based on financial resources is:

• A) less imitable and less likely to create value on a long-term basis.
• B) more imitable and less likely to create value on a long-term basis.
• C) less imitable and more likely to create value on a long-term basis.
• D) more imitable and more likely to create value on a long-term basis.

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Definitions:

Business Model

A framework outlining how a company creates, delivers, and captures value within its operational context.

Evidence

Information or facts that are used to support the validity of a statement, theory, or finding.

Infrastructure

The resources (people, technology, products, suppliers, partners, facilities, cash, etc.) that an entrepreneur must have in order to deliver the Customer Value Proposition (CVP).

Financial Viability

Defines the revenue and cost structures a business needs to meet its operating expenses and financial obligations.