The Ultimate Goal of an Unrelated Diversification Strategy Is Usually

question 1

Multiple Choice

 The ultimate goal of an unrelated diversification strategy is usually to

• A) create financial economies.
• B) support failing businesses.
• C) enhance innovation.
• D) expand globally.

---

Definitions:

Variable Inputs

Inputs that can be adjusted in the short term to alter the level of output in the production process.

Marginal Cost Function

A mathematical representation showing how the cost of producing one additional unit of a good changes as production volume changes.

Optimal Output

The level of production that maximizes a firm’s profit or minimizes its cost under given conditions.

Profit

The financial gain acquired when the revenue generated from business activities exceeds the expenses, costs, and taxes needed to sustain the activity.