Firms Work to Diversify

question 20

Multiple Choice

Firms work to diversify. Which of the following is not a diversification method that firms use?

• A) Firms seek to expand the customer base.
• B) Firms seek to obtain raw materials from several suppliers.
• C) Firms seek to isolate their product by selling to a single niche market.
• D) Firms seek to produce more than one product.

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Definitions:

Learned Helplessness

A condition in which a person suffers from a sense of powerlessness, arising from a traumatic event or persistent failure to succeed, leading to the belief that one's actions have no effect on outcomes.

Aversive Stimulus

A stimulus that is unpleasant or painful, which an organism seeks to avoid or escape.

Positive Reinforcement

A technique used in behavioral psychology to increase the likelihood of a desired behavior by following it with the addition of a reinforcing stimulus.

Punishment

A consequence that decreases the likelihood of a behavior being repeated, often used as a form of behavioral control.