What Was the Key Challenge as Companies Jumped on the Diversification

question 26

Multiple Choice

What was the key challenge as companies jumped on the diversification bandwagon?

• A) Making the business profitable
• B) Finding businesses to buy
• C) Managing the resource needs of diverse businesses
• D) Financing acquisitions

---

Definitions:

Gadgets Production

The process of creating and manufacturing devices, often electronic, that are designed to perform a particular function or task.

Marginal Cost

The cost incurred by producing one additional unit of a good or service.

Sunk Cost

A cost that has already been incurred and is not recoverable.

Opportunity Cost

The cost of foregoing the next best alternative when making a decision.