At Cooper Industries,there Are Few Similarities in the Products It

question 78

Multiple Choice

At Cooper Industries,there are few similarities in the products it makes or the industries in which it completes.The corporate office adds value through such activities as improving their accounting activities and centralizing union negotiations.This is an example of creating value by using

• A) related diversification to acquire economies of scope by leveraging pooled negotiating power.
• B) related diversification to acquire market power by leveraging core competencies.
• C) unrelated diversification to acquire financial synergies through portfolio management.
• D) unrelated diversification to acquire synergies through corporate restructuring and parenting.

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