Podcast
Questions and Answers
When does a company use horizontal diversification?
When does a company use horizontal diversification?
- To leverage existing distribution channels and enter new markets (correct)
- To enter industries with different economic cycles and market dynamics
- To identify entirely new avenues for growth
- To reduce risk by entering a familiar market
In what situation is conglomerate diversification used?
In what situation is conglomerate diversification used?
- When the company wants to reduce risk by entering a familiar market
- Limited growth opportunities within the company's current industry (correct)
- When the company wants to reduce business risk by entering industries with different economic cycles
- When there are opportunities for cost savings through shared resources
Under what circumstance is concentric diversification employed?
Under what circumstance is concentric diversification employed?
- The company wants to reduce risk by entering a market with some familiarity and expertise (correct)
- The company wants to leverage its existing distribution channels to enter new markets
- The company has a strong financial position and can afford to invest in unrelated businesses
- The company wants to enter industries with different economic cycles and market dynamics
When is conglomerate diversification not a suitable strategy?
When is conglomerate diversification not a suitable strategy?
In what scenario is horizontal diversification not applicable?
In what scenario is horizontal diversification not applicable?
Match the following diversification strategies with their primary purposes:
Match the following diversification strategies with their primary purposes:
Match the following diversification strategies with their primary purposes:
Match the following diversification strategies with their primary purposes:
Match the following diversification strategies with their primary purposes:
Match the following diversification strategies with their primary purposes:
Match the following diversification strategies with their primary purposes:
Match the following diversification strategies with their primary purposes:
Match the following diversification strategies with their primary purposes:
Match the following diversification strategies with their primary purposes:
Match the diversification strategy with its primary purpose:
Match the diversification strategy with its primary purpose:
Match the diversification strategy with its suitable financial condition:
Match the diversification strategy with its suitable financial condition:
Match the diversification strategy with its potential for shared operations:
Match the diversification strategy with its potential for shared operations:
Match the diversification strategy with its focus on market dynamics:
Match the diversification strategy with its focus on market dynamics:
Match the diversification strategy with its approach to risk reduction:
Match the diversification strategy with its approach to risk reduction:
What is concentric diversification and when is it used?
What is concentric diversification and when is it used?
When is conglomerate diversification employed and what does it aim to achieve?
When is conglomerate diversification employed and what does it aim to achieve?
In what scenario is horizontal diversification utilized and what does it leverage?
In what scenario is horizontal diversification utilized and what does it leverage?
Under what circumstance is conglomerate diversification considered and what risk does it aim to reduce?
Under what circumstance is conglomerate diversification considered and what risk does it aim to reduce?
When is horizontal diversification applicable and what potential cost savings does it offer?
When is horizontal diversification applicable and what potential cost savings does it offer?
Explain concentric diversification and provide an example of when it would be used.
Explain concentric diversification and provide an example of when it would be used.
When is conglomerate diversification employed and what is its primary purpose?
When is conglomerate diversification employed and what is its primary purpose?
What is the focus of horizontal diversification and when is it typically used?
What is the focus of horizontal diversification and when is it typically used?
Under what circumstances would a company choose to engage in conglomerate diversification?
Under what circumstances would a company choose to engage in conglomerate diversification?
When is concentric diversification typically employed and what does it aim to achieve?
When is concentric diversification typically employed and what does it aim to achieve?