Firms Have Several Choices of Diversification Initiatives That Can Be

question 69

Multiple Choice

Firms have several choices of diversification initiatives that can be used to create value. Which of the following is not one of them?

• A)using related diversification to acquire economies of scope leveraging pooled negotiating power
• B)using related diversification to acquire market power by leveraging core competencies
• C)using unrelated diversification to acquire financial synergies through portfolio management
• D)using related diversification to acquire parenting, restructuring, and financial synergies through corporate restructuring and parenting

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