Exam 8: Corporate Strategy: Diversification and the Multibusiness Company

The strategic options to improve a diversified company's overall performance do not include which of the following categories of actions?

The value of determining the relative competitive strength of each business a company has diversified into is

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

The option of sticking with the current business lineup makes sense when

Which of the following is not a major consideration in evaluating the pluses and minuses of a diversified company's strategy?

A "cash cow" type of business

Retrenching to a narrower diversification base

Divestiture can be accomplished by

The procedure for evaluating the pluses and minuses of a diversified company's strategy includes

One important dimension of resource fit concerns the potential to generate internal cash flows sufficient to fund capital requirements of its business lineup, termed the firm's

A diversified company that leverages the strategic fits of its related businesses into competitive advantage

Which of the following is a diversified business with one major "core" business and a collection of small related or unrelated businesses?

When calculating industry attractiveness scores, to produce a valid response it is necessary to

A diversified company's business units exhibit good resource fit when

The task of crafting corporate strategy for a diversified company encompasses

As a rule, all the industries represented in a diversified company's business portfolio should be judged on such attractiveness factors as

Diversifying into a new industry by forming a new internal subsidiary to enter and compete in the target industry is attractive when

One of the suggested advantages of an unrelated diversification strategy is that it

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

Checking a diversified firm's business portfolio for the competitive advantage potential of cross-business strategic fits entails consideration of