Research Comparing Concentric with Conglomerate Diversification Concludes That

question 105

Multiple Choice

Research comparing concentric with conglomerate diversification concludes that

• A) conglomerate diversification is always less profitable than concentric diversification.
• B) concentric diversification is always less profitable than conglomerate diversification.
• C) the relationship between relatedness and performance follows an inverted U-shaped curve.
• D) neither concentric nor conglomerate diversification are ever profitable.
• E) for optimum effectiveness both conglomerate and concentric diversification should be utilized in tandem.

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Definitions:

Egoism

Giving to another person to ensure reciprocity; to gain self-esteem; to present oneself as powerful, competent, or caring; or to avoid social and self-censure for failing to live up to society’s expectations.

Altruism

A selfless concern for the well-being of others without expectation of reward or recognition.

Personal Gain

Pursuing actions or decisions primarily for self-benefit or personal advantage.

Cognitive Dissonance Theory

A concept in social psychology that describes the discomfort felt by an individual who holds contradictory beliefs, ideas, or values.