Giant Entity (GE) has four business components A, B, C and D. Two of these business components A and B are manufacturing plants located in the Netherlands. Each plant manufactures and sells a different product to customers located in the Netherlands. The CEO of each plant (the CODM) makes decisions about allocating resources and assessing performance. Two other components, C and D are manufacturing plants located in Zimbabwe, that are organized to mirror the Netherlands operations but each manufactures and sells products to customers in Zimbabwe. GE's vice-president for foreign operations in Zimbabwe is responsible for assessing performance and making resource allocation decisions for the Zimbabwe operation as a whole. How many operating segments does GE have?

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The Answer of Giant Entity (GE) has four business components A, B, C and D. Two of these business components A and B are manufacturing plants located in the Netherlands. Each plant manufactures and sells a different product to customers located in the Netherlands. The CEO of each plant (the CODM) makes decisions about allocating resources and assessing performance. Two other components, C and D are manufacturing plants located in Zimbabwe, that are organized to mirror the Netherlands operations but each manufactures and sells products to customers in Zimbabwe. GE's vice-president for foreign operations in Zimbabwe is responsible for assessing performance and making resource allocation decisions for the Zimbabwe operation as a whole. How many operating segments does GE have?

Giant Entity (GE) Has Four Business Components A, B, C