Diversification Decisions by fiRms Involve the Following Key Issues

question 31

Multiple Choice

Diversification decisions by firms involve the following key issues:

• A)The attractiveness of the industry to be entered and the potential for competitive advantage
• B)The potential for the diversification to increase growth and reduce risk
• C)The opportunities for exploiting economies of scope in resources and capabilities
• D)The benefits of synergy relative to the costs or coordination.

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Definitions:

Leader Behavior

Actions and mannerism exhibited by someone in a leadership position, influencing the team's performance and environment.

Subordinate Motivation

The process of encouraging and driving individuals lower in the organizational hierarchy to accomplish tasks and goals.

Authentic Leadership

A leadership style rooted in honesty and transparency where leaders are genuine and true to themselves while leading others.

Balanced Processing

The objective analysis and consideration of all relevant information before making a decision or judgment.