Which of the Following Is an Important Appeal of a Related

question 55

Multiple Choice

Which of the following is an important appeal of a related diversification strategy?

• A) Represents an effective way of capturing valuable financial fit benefits
• B) Offers opportunities to transfer skills,expertise,technical know-how,or other capabilities from one business to another
• C) Offers significant opportunities to strongly differentiate a company's product offerings from those of rivals
• D) Is more likely to pass the cost-of-entry test and the capital gains test than unrelated diversification
• E) Is typically more profitable than unrelated diversification,which is a major factor in helping related diversification pass the attractiveness test

---

Definitions:

Alcohol

A psychoactive substance, commonly found in drinks such as beer, wine, and spirits, that can lead to intoxication and various health effects.

Drug Abuse

The habitual misuse of drugs, leading to negative impacts on one’s health, social, or occupational life.

Partner Violence

Refers to physical, sexual, or emotional abuse by one person in an intimate relationship against the other partner.

Screening

The process of evaluating or testing something or someone for a specific purpose, such as detecting a disease or assessing suitability for a task.