The Procedure for Evaluating the Pluses and Minuses of a Diversified

question 22

Multiple Choice

The procedure for evaluating the pluses and minuses of a diversified company's strategy includes

• A) assessing the attractiveness of the industries the company has diversified into.
• B) assessing the competitive strength of each business the company has diversified into.
• C) ranking the performance prospects of the various businesses from best to worst and determining the priorities for resource allocation.
• D) evaluating the extent of cross-business strategic fits and checking whether the firm's resources fit the needs of the various businesses the company has diversified into.
• E) All of these choices are correct.

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Definitions:

Human Resources

A business function and department responsible for managing employment-related aspects, including hiring, training, compensation, and employee relations.

Corporate Strategy

The overall scope and direction of a corporation and the way in which its various business operations work together to achieve particular goals.

Organizational Strategy

A plan of action designed to achieve long-term or overall aims and objectives of an organization, shaping how resources are allocated to meet these goals.

Systems Perspective

A way of understanding and analyzing complex entities by examining them as coherent systems composed of interconnected and interdependent parts.