Which of the Following Is an Important Appeal of a Related

Multiple Choice

Which of the following is an important appeal of a related diversification strategy?

A) Related diversification is an effective way of capturing valuable financial fit benefits.
B) Related diversification offers more competitive advantage potential than does unrelated diversification.
C) Related diversification offers significant opportunities to strongly differentiate a company's product offerings from those of rivals.
D) Related diversification is more likely to pass the cost-of-entry test and the capital gains test than unrelated diversification.
E) Related diversification is typically more profitable than unrelated diversification,which is a major factor in helping related diversification pass the attractiveness test.