Which One of the Following Is Not Part of the Task

question 78

Multiple Choice

Which one of the following is not part of the task of checking a diversified company's business lineup for adequate resource fit?

• A) Determining whether the excess cash flows generated by cash cow businesses are sufficient to cover the negative cash flows of its cash hog businesses
• B) Determining whether recently acquired businesses are acting to strengthen a company's resource base and competitive capabilities or whether they are causing its competitive and managerial resources to be stretched too thinly
• C) Determining whether business units offer opportunities to transfer skills or technology or intellectual capital from one business to another
• D) Determining whether the company has adequate financial strength to fund its different businesses and maintain a healthy credit rating
• E) Determining whether the corporate parent has or can develop sufficient resource strengths and competitive capabilities to be successful in each of the businesses it has diversified into

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Definitions:

Four Corners

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Urban Sprawl

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