Which of the Following Statements Regarding the Rarity of Diversification

question 80

Multiple Choice

Which of the following statements regarding the rarity of diversification is accurate?

• A) If only a few competing firms have exploited a particular economy of scope, that economy of scope can be rare.
• B) A particular economy of scope can only be rare if no other firms are exploiting that economy of scope.
• C) A particular economy of scope can be rare even if many other firms are exploiting that economy of scope.
• D) If only a few competing firms have exploited a particular economy of scope, that economy of scope can be rare but only if the firm is pursuing unrelated diversification.

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Definitions:

Admiralty Courts

Courts specializing in cases involving maritime law, including shipping, navigation, waters, and insurance related to sea travel and commerce.

Seven Years' War

A global conflict fought between 1756 and 1763 involving most of the great powers of the time, affecting Europe, North America, Central America, the West African coast, India, and the Philippines.

No Taxation Without Representation

A slogan originating during the 1700s that summarized a primary grievance of the American colonists in the Thirteen Colonies, which was one of the major causes of the American Revolution.

House of Commons

The lower house of the Parliament of the United Kingdom, consisting of Members of Parliament (MPs) elected by the public to represent constituencies.