Examlex
Managerial motives to seek diversification include a desire to:
Inflationary Premium
The part of the nominal interest rate on a loan or investment that represents compensation for the expected loss of purchasing power due to inflation.
Economic Efficiency
A state in which resources are allocated in the most effective way possible to meet consumers' needs and wants, maximizing output without wasting any resources.
Capital
Resources, including financial assets, equipment, and buildings, used to produce goods and services.
Capital Goods
Long-lasting goods that are used in the production of other goods and services, such as machinery, buildings, and equipment.
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