The Continuing Prominence of Large,highly Diversified Business Groups in Many

Multiple Choice

The continuing prominence of large,highly diversified business groups in many emerging market countries (e.g.Tata Group in India) is mainly the result of:

A) The political connections of a few leading business leaders
B) High transaction costs in capital and labor markets in these countries which favor the deployment of resources within large diversified corporations
C) Barriers to direct investment which protect these companies from overseas competition
D) The failure of emerging market business leaders to appreciate the benefits of refocusing