Which of the Following Is an Example of Diversification by a fiRm

question 61

Multiple Choice

Which of the following is an example of diversification by a firm?

• A) Acquiring the business of a rival firm.
• B) Operating in more than one industry.
• C) Acquiring a firm in the value chain.
• D) Increasing efficiency by cutting costs.

---

Definitions:

Aspirin-Type Analgesic

A class of medication used to reduce pain, fever, inflammation, and, in some doses, to prevent blood clots, mainly characterized by the presence of acetylsalicylic acid.

Gastric Disorders

A range of conditions affecting the stomach, including gastritis, gastric ulcers, and gastric cancer, often leading to pain and digestion issues.

Regressive Tax

A tax imposed in such a manner that the tax rate decreases as the amount subject to taxation increases, disproportionally affecting those with lower incomes.

Represent

To stand in for or symbolize something; in data and models, to depict or embody a concept, group, or physical entity.