Which of the Following Is NOT One of the Elements

question 69

Multiple Choice

Which of the following is NOT one of the elements of crafting corporate strategy for a diversified company?

• A) picking new industries to enter and deciding on the means of entry
• B) choosing the appropriate value chain for each business the company has entered
• C) pursuing opportunities to leverage cross-business value chain relationships and strategic fit into competitive advantage
• D) establishing investment priorities and steering corporate resources into the most attractive business units
• E) initiating actions to boost the combined performance of the businesses the firm has entered

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Definitions:

Sunk Cost

A cost that has already occurred and that is not affected by the capital project decision. Sunk costs are not relevant to capital budgeting decisions.

Publishing Company

A business entity that specializes in the production and dissemination of literature or information, such as books, magazines, or digital content.

Analysis

The examination and evaluation of the relevant information to select the best course of action from among various alternatives.

Cash Flows

Cash flows refer to the net amount of cash and cash-equivalents being transferred into and out of a business.