A Diversification Strategy Based on Resource Sharing

question 22

Multiple Choice

A diversification strategy based on resource sharing

• A) entails a company creating value by applying the distinctive competencies it developed in one line of business to another line of business.
• B) requires the development of new business-level strategies.
• C) can help a company to realize economies of scope.
• D) is a valid way of supporting the generic business-level strategy of differentiation.
• E) increases the accountability of units.

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Definitions:

Normal Distribution

A bell-shaped curve that represents the distribution of many types of data where most observations cluster around the mean.

Standard Error

A measure of the variability or dispersion of a sampling distribution.

Margin of Error

The largest anticipated discrepancy between the actual population parameter and its estimate derived from a sample.

Normal Distribution

A symmetric, bell-shaped distribution of data in which most of the observations cluster around the central peak and the probabilities for values further away from the mean taper off equally in both directions.