Which of the following is an example of diversiﬁcation by a ﬁrm?
A) Acquiring the business of a rival ﬁrm.
B) Operating in more than one industry.
C) Acquiring a ﬁrm in the value chain.
D) Increasing eﬃciency by cutting costs.

Question

Quizplus · Accepted Answer

Diversification refers to a strategy where a firm expands into new markets or industries, which is directly exemplified by operating in more than one industry.

Which of the Following Is an Example of Diversiﬁcation by a ﬁRm