Asked by Jonathan Berger on Jun 24, 2024
Verified
__________ involves growth by acquiring new businesses or entering business areas that are different from what the organisation already does.
A) Vertical integration
B) Backward integration
C) Related diversification
D) Unrelated diversification
E) Supply chain management
Unrelated Diversification
A business strategy where a company expands into industries or markets that are not related to its existing business activities.
Acquiring New Businesses
The process by which a company purchases or takes over other businesses to expand its operations, market reach, or product offerings.
Related Diversification
A strategy where a business expands into new areas that have a connection or relation to its existing operations or markets.
- Become familiar with the range of tactics employed by companies, involving growth, reduction, and diversification strategies.
Verified Answer
PN
prajapati NidhiJun 26, 2024
Final Answer :
D
Explanation :
Unrelated diversification involves a company expanding its operations into areas that are different from its current businesses, which is not directly related to the company's existing product lines or markets.
Learning Objectives
- Become familiar with the range of tactics employed by companies, involving growth, reduction, and diversification strategies.