When a Company Decides to Expand into New Industries, It

question 43

Multiple Choice

When a company decides to expand into new industries, it must:

• A) develop "multibusiness model" that justifies its entry into different businesses.
• B) halt marketing activities in the current industry to avoid being associated with one specific industry.
• C) select a new CEO and reappoint the board of directors.
• D) create one common business model for all the industries rather than each business unit.
• E) avoid talking about ways of increasing profitability in the business model.