To Test Whether a Particular Diversification Move Has Good Prospects

question 16

Multiple Choice

To test whether a particular diversification move has good prospects for creating added shareholder value,corporate strategists should use the

• A)profit test,the competitive strength test,and the industry attractiveness test.
• B)better-off test,the competitive advantage test,and the profit expectations test.
• C)barrier to entry test,the competitive advantage test,and the stock price effect test.
• D)strategic fit test,the industry attractiveness test,and the dividend effect test.
• E)the industry attractiveness test,the cost-of-entry test,and the better-off test.

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Definitions:

Purposeful Lifestyle

Leading a life marked by intentional and meaningful actions that reflect one's values and goals.

Sacraments

Sacred religious rites recognized as means of divine grace, such as baptism and communion, in Christian theology.

Spiritual Needs

The intrinsic human quest for meaning, purpose, and connection to something greater than oneself, which can be crucial for well-being.

Decisional Conflict

The psychological state of uncertainty and indecision faced by individuals when making complex decisions, especially when the choices involve risk, loss, or challenge to personal values.