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Briefly explain the relevance of quantitatively measuring the competitive strength of each business in a diversified company's business portfolio and determining which business units are strongest and weakest. List the six steps involved in the process.
Risk Aversion
A dislike of uncertainty.
Bad Things
Negative events, actions, or outcomes that are undesirable or harmful.
Present Value
The amount of money today that would be needed to produce a future amount of money, given prevailing interest rates.
Investment Projects
Initiatives undertaken by individuals, companies, or governments to allocate capital in order to generate returns or achieve strategic goals.
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