Which of the Following May Be True for a Company

question 17

Multiple Choice

Which of the following may be true for a company pursuing a strategy of unrelated diversification rather than a strategy of related diversification?

• A) The company has to achieve coordination between business units.
• B) The company has narrow organizational competencies.
• C) The company has superior strategic management and organizational design.
• D) The company has no bureaucratic costs that arise from the number of businesses in its portfolio.
• E) The company has no difficulty in keeping its corporate managers informed about the complexitities of each business.

---

Definitions:

Semantic Memory

A type of long-term memory involving the capacity to recall words, concepts, or numbers, essential for the use and understanding of language.

Eidetic Memory

A rare ability to recall images, sounds, or objects with high precision for a few minutes without using mnemonic devices.

Episodic Memory

A variety of lasting memory dedicated to remembering specific happenings, environments, and experiences, as well as the situational details and emotions linked to them.

Long-Term Memory

A component of the memory system capable of storing large amounts of information for periods ranging from days to a lifetime.