Which Diversification Strategy Is Based on the Idea That the Company

question 57

Multiple Choice

Which diversification strategy is based on the idea that the company creates value by applying the distinctive competencies it developed in one line of business to another business activity?

• A) A technology acquisition strategy
• B) Related diversification
• C) A restructuring strategy
• D) Total diversification
• E) A taper diversification strategy

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Definitions:

Routine Problems

Common or regularly occurring issues that require standard methods or strategies for their resolution.

Standard Solutions

Typical or commonly used methods or procedures devised to address a problem or challenge.

Skeptics

Individuals who habitually doubt or question beliefs and claims often accepted by others as true.

Nonprogrammed Decision

Decisions that are made in response to situations that are unique, are poorly defined and structured, and have important consequences for the organization.