For the Purpose of Diversification, a Corporate-Level Cooperative Strategy May

Multiple Choice

For the purpose of diversification, a corporate-level cooperative strategy may be preferable to a merger or acquisition for all the following reasons EXCEPT:

A) a host nation may forbid a merger or acquisition.
B) opportunistic behaviors are less likely.
C) cooperative strategies require fewer resources.
D) cooperative strategies allow greater flexibility in diversifying the firm's portfolio.