Which of the Following Is NOT Part of the Task

question 65

Multiple Choice

Which of the following is NOT part of the task of checking a diversified company's business lineup for adequate resource fit?

• A) Determining whether the excess cash flows generated by cash cow businesses are sufficient to cover the negative cash flows of its cash hog businesses
• B) Determining whether recently acquired businesses are acting to strengthen a company's resource base and competitive capabilities or whether they are causing its competitive and managerial resources to be stretched too thinly across its businesses
• C) Determining whether opportunity exists for achieving 1 + 1 = 2 outcomes
• D) Determining whether the company has adequate financial strength to fund its different businesses and maintain a healthy credit rating
• E) Determining whether the corporate parent has or can develop sufficient resource strengths and competitive capabilities to be successful in each of the businesses it has diversified into

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Definitions:

Discounts

Reductions applied to the regular price of goods or services, often to stimulate sales or clear out inventory.

Value Analyses

The process of examining the function of goods or services to reduce costs without affecting quality, thereby increasing customer value.

Tablet

A slim, flat electronic device equipped with a touchscreen interface, designed for portable personal use with functionalities ranging from web browsing to multimedia consumption.

Trial Closes

Techniques used in sales to casually ask the prospect or customer to make a small commitment or give an opinion, intended to gauge their readiness to complete the sale.