To Test Whether a Particular Diversification Move Has Good Prospects

question 60

Multiple Choice

To test whether a particular diversification move has good prospects for creating added shareholder value,corporate strategists should use

• A) the profit test,the competitive strength test,and the industry attractiveness test.
• B) the better-off test,the competitive advantage test,and the profit expectations test.
• C) the barrier to entry test,the competitive advantage test,and the stock price effect test.
• D) the strategic fit test,the industry attractiveness test,and the dividend effect test.
• E) the attractiveness test,the cost-of-entry test,and the better-off test.

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Definitions:

Facial Expressions

Facial Expressions are configurations of facial muscles that convey the emotional state of an individual to observers.

Paul Ekman

A psychologist known for his work in the study of emotions and their expression, including the identification of universal facial expressions tied to emotions across cultures.

Latin Word

A term or expression originating from Latin, an ancient Italic language historically used in the Roman Empire and still used in specific contexts like scientific nomenclature.

Motive

An internal drive or reason that stimulates and directs behavior towards specific goals.