Companies That Pursue Related Diversification Are More Likely to Improve

question 83

Essay

Companies that pursue related diversification are more likely to improve their performance than companies that pursue unrelated diversification.Elaborate.

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Definitions:

Proactive Interference

The phenomenon where old memories hinder the recall of newly learned information.

Retroactive Interference

A phenomenon in psychology where newly acquired information interferes with the recall of previously learned information.

Repression

A psychological defense mechanism where distressing thoughts, memories, or impulses are unconsciously pushed out of conscious awareness.

Semantic Memory

A type of long-term memory involving the storage of general knowledge, facts, concepts, and meanings not tied to specific experiences.