Related Diversification Is the Strategy of Operating a Business Unit

question 51

True/False

Related diversification is the strategy of operating a business unit in a new industry that is related to a company's existing business units through some commonality in their value chains.

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Definitions:

Safety

The condition of being protected from or unlikely to cause danger, risk, or injury.

Suggest Changes

The act of proposing adjustments or modifications to ideas, processes, or behaviors to improve or resolve a situation.

Hierarchy of Needs

A psychological theory proposed by Abraham Maslow that is often depicted as a pyramid with physiological needs at the base, ascending through safety, love/belonging, esteem, to self-actualization at the top.

Physiological Needs

The most basic of Maslow’s hierarchy of needs having to do with the satisfaction of physical needs, including food and shelter.