With a Strategy of Unrelated Diversification, an Acquisition Is Deemed

Multiple Choice

With a strategy of unrelated diversification, an acquisition is deemed to have potential if it

A) can achieve at least existing profit margins into the near future.
B) has the opportunity to generate positive buzz in the industry, even if it may not be able to contribute to the parent firm's bottom line.
C) can pass the industry attractiveness test and the cost of entry test, and if it has good prospects for profit growth.
D) can pass at least the industry attractiveness test if not the cost of entry test.
E) can add economic value for managers.