Economies of Scope

question 22

Multiple Choice

Economies of scope

• A)are cost reductions that flow from operating in multiple related businesses.
• B)arise only from strategic fit relationships in the production portions of the value chains of sister businesses.
• C)are more associated with unrelated diversification than related diversification.
• D)are present whenever diversification satisfies the attractiveness test and the cost of entry test.
• E)arise mainly from strategic fit relationships in the distribution portions of the value chains of unrelated businesses.

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Definitions:

Great Britain

An island in the North Atlantic Ocean that contains England, Scotland, and Wales, which together form the United Kingdom of Great Britain and Northern Ireland.

Western Land

Refers to territories in the western United States, historically significant in the context of exploration, settlement, and expansion during the 19th century.

Eastern Land

A vague term that could refer to territories or regions located to the east of a specific point of reference, often used in historical or geographical contexts.

Gold Discovery

The act or event of finding gold, often leading to gold rushes and significant migration of people seeking wealth.