Diversification into Related Industries Is More Likely to Be Profitable

question 64

Multiple Choice

Diversification into related industries is more likely to be profitable than diversification in unrelated industries:

• A)Is a generally true statement
• B)Is a false statement
• C)Has never been tested
• D)Is not supported by empirical evidence

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Definitions:

Hedonic

Related to or considered in terms of pleasant (or unpleasant) sensations.

Utilitarian

Relating to the ethical theory that actions are right if they are useful or for the benefit of a majority, focusing on the outcomes being beneficial for the greatest number of people.

Hunger Pangs

Physical sensations of discomfort or pain in the stomach area, typically indicating a need to consume food.

Acculturation-Avoidance

The active resistance or refusal to adopt the cultural norms or practices of another group, often leading to the preservation of one's original cultural identity.