To Test Whether a Particular Diversification Move Has Good Prospects

question 16

Multiple Choice

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

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

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Definitions:

Low Self-Esteem

A state where an individual perceives themselves as inadequate, unlovable, or incompetent.

Fearlessness About Death

A psychological trait characterized by a lack of fear or apprehension about the concept of dying or death itself.

Schematic

Relating to or constituting a scheme or diagram; broadly conceptual.

Self-Discrepancies

Differences between one's self-concept and one's ideal self or ought self, leading to emotional discomfort.