Which of the Following Is Not a Major Consideration in Evaluating

question 17

Multiple Choice

Which of the following is not a major consideration in evaluating the pluses and minuses of a diversified company's strategy?

• A) checking whether the company's resources fit the requirements of its present business lineup
• B) scrutinizing each industry/business to determine where driving forces are strongest/weakest and how many profitable strategic groups the company has diversified into
• C) ranking the performance prospects of the various businesses from best to worst and determining what the corporate parent's priorities should be in allocating resources to its different businesses
• D) evaluating the extent of cross-business strategic fits
• E) assessing the competitive strength of each business the company has diversified into

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Definitions:

Self-fulfilling Prophecy

A forecast that, whether through direct or indirect means, fulfills itself by creating a loop of positive feedback between what is believed and the actions taken.

Paranoid

A state of mind characterized by irrational distrust or suspicion of others, often leading to misinterpretation of others' intentions as malevolent.

In-group Member

An individual who belongs to and identifies with a specific social group, leading to a sense of belonging and identity within that group.

Out-group Member

An individual who is perceived as not belonging to one's own group, often seen as different or outside the in-group.