Which of the Following Is a Value-Reducing Reason for Diversification

question 43

Multiple Choice

Which of the following is a value-reducing reason for diversification?

• A)enhancing the strategic competitiveness of the entire company
• B)expanding the business portfolio in order to diversify managerial employment risk
• C)gaining market power relative to competitors
• D)conforming to antitrust regulation

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Definitions:

Real Line

A one-dimensional space consisting of all the real numbers, visualized as a straight line where each point corresponds to a unique real number.

Inequality

A mathematical statement that shows the relationship between two expressions that are not equal, using symbols such as <, >, ≤, or ≥.

Real Line

The real line refers to a one-dimensional space where every point represents a real number, stretching infinitely in both positive and negative directions.

Inequality

A mathematical statement that compares two values, showing that one is greater than, less than, or not equal to the other.