Which type of diversification involves moving into businesses that are related to the company's original core business?
A)concentric
B)conglomerate
C)vertical
D)functional
E)horizontal

Question

Quizplus · Accepted Answer

Concentric diversification involves expanding into businesses that are related to the company's original core business, which allows the company to leverage its existing capabilities and resources. This type of diversification is often seen as less risky than conglomerate diversification, which involves moving into unrelated businesses. Vertical diversification involves moving into businesses that are related to the company's supply chain, while functional diversification involves expanding into businesses that are related to the company's internal functions. Horizontal diversification involves moving into businesses that are unrelated to the company's current business.

Which Type of Diversification Involves Moving into Businesses That Are