Which of the Following Statements Regarding the Rarity of Diversification

question 80

Multiple Choice

Which of the following statements regarding the rarity of diversification is accurate?

• A) If only a few competing firms have exploited a particular economy of scope, that economy of scope can be rare.
• B) A particular economy of scope can only be rare if no other firms are exploiting that economy of scope.
• C) A particular economy of scope can be rare even if many other firms are exploiting that economy of scope.
• D) If only a few competing firms have exploited a particular economy of scope, that economy of scope can be rare but only if the firm is pursuing unrelated diversification.

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