Exam 8: Corporate Strategy: Diversification and the Multibusiness Company

To take advantage of cross-business value chain relationships and strategic fit and turn them into a competitive advantage requires that companies determine whether there are opportunities to strengthen the business,which includes such tasks as the following,EXCEPT:

What makes related diversification an attractive strategy?

Briefly discuss when it makes good strategic sense for a company to consider diversification.

The businesses in a diversified company's lineup exhibit good resource fit when:

When should a business be divested?

Which of the following questions does not relate to the choice of how best to enter a new business?

What hurdles are present in calculating industry attractiveness scores?

When industry attractiveness ratings are calculated for each of the industries a multibusiness company has diversified into,the results help indicate:

The success of unrelated diversification is dependent upon management's ability to:

With an unrelated diversification strategy,the types of companies that make particularly attractive acquisition targets are:

In unrelated businesses,they:

The big dilemma an aggressive acquisition-minded firm faces is whether:

Which of the following is NOT generally something that ought to be considered in evaluating the attractiveness of a multibusiness (diversified)company's business makeup?

A company is said to have what type of strategic fit when businesses can perform better together than apart because of potential cost savings in sharing the same warehouse facilities or using many of the same wholesale distributors and retail dealers to access customers?

Cross-business strategic fits can be found:

The nine-cell industry attractiveness competitive strength matrix:

In which of the following instances is retrenching to a narrower diversification base NOT likely to be an attractive or advisable strategy for a diversified company?

Explain the difference between a cash cow business and a cash hog business.

Which one of the following is NOT a procedure for evaluating the pluses and minuses of a diversified company's strategy?

The basic premise of unrelated diversification is that: