Which of the following tests considers the potential for synergy as advantage emerges for a new business because of its association with another company?
A) The just-like-me test
B) The attractiveness test
C) The cost-of-entry test
D) The better-off test

Question

Quizplus · Accepted Answer

The better-off test evaluates whether a new business will gain a competitive advantage or contribute to the competitiveness of other businesses within the corporation due to synergies. This test specifically looks at the potential benefits of integration or association with another company.

Which of the Following Tests Considers the Potential for Synergy