As the Threat of Corporate Failure Increases Due to Relatedness

question 77

Multiple Choice

As the threat of corporate failure increases due to relatedness between a firm's business units,firms may decide to:

• A) increase the firm's level of retained resources.
• B) operate in more certain environments or constrain the level of activity sharing.
• C) forego the benefits of synergy and divest business units.
• D) pursue unproven product lines.

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Definitions:

Symbolic Self-Completion

A theory suggesting individuals strive to achieve and display symbols of success in areas important to their self-identity to feel complete.

Intrinsic Motivation

The drive to act or engage in an activity for its own sake, deriving pleasure or satisfaction from the activity itself rather than external rewards.

Adequate Resources

Having sufficient means, materials, or assets required to achieve a goal or fulfill a need.

Daunting Situation

A term used to describe a scenario that is intimidating or appears difficult to deal with or overcome.