Which of the Following Is Not a Value- Creating Reason

question 17

Multiple Choice

Which of the following is not a value- creating reason for diversification?

• A) A diverse range of products/services can diffuse management effort
• B) A diverse range of products/services can increase market power
• C) Gains from applying corporate managerial capabilities to new markets and products/services
• D) Efficiency gains from applying existing resources and competences to new markets and products/services
• E) Need to respond to environmental change

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Definitions:

Stimulus

A stimulus is any event or situation that evokes a response or reaction from someone or something.

Vicarious Learning

A learning process where individuals acquire knowledge or behaviors by observing the actions and consequences experienced by others.

Modeling

The process of learning and mimicking behaviors, attitudes, or techniques from others, often role models or mentors.

Albert Bandura

A psychologist renowned for his work on social cognitive theory and the concept of self-efficacy.