Diversified firms that are exploiting core competencies as an economy of scope but are not doing so with any shared activities are sometimes called ________ diversified firms.
A) seemingly unrelated
B) unrelated
C) semi-related
D) link-related

Question

Quizplus · Accepted Answer

Seemingly unrelated diversified firms are those that have no shared activities or synergies across their multiple businesses, but still exploit their core competencies for an economy of scope. This type of diversification is often seen in conglomerates that have businesses in diverse industries with little or no overlap. It is different from related diversification, where the firm leverages synergies and shared activities between its businesses, and unrelated diversification, where the firm has no commonalities between its businesses.

Diversified Firms That Are Exploiting Core Competencies as an Economy