Which of the following statements regarding diversification analysis is most accurate?
A)Companies should only use diversification analysis if they are well-established;new companies that use this process run the risk of trying to do too much too soon.
B)For any product,there is both a current and a new market;for any market,there is both a current and a new product.
C)Most companies discover that there is at least one product that is targeted to the wrong market.
D)Diversification analysis is only effective for consumer products.
E)Diversification analysis is used to forecast and calculate industry sales for new products.

Question

Quizplus · Accepted Answer

For any market,there is both a current product (what the firm now sells)and a new product (what the firm might sell in the future).And for any product,there is both a current market (the firm's existing customers)and a new market (the firm's potential customers).

Which of the Following Statements Regarding Diversification Analysis Is Most