Reasons why a firm might benefit from the creation of a separate new-venture division include all of the following except
A) better protection of the division's autonomy.
B) less scrutiny from top managers.
C) removal from day-to-day pressures of the firm.
D) ease in developing a culture that fosters innovation.
E) development of a science-based business model.

Question

Quizplus · Accepted Answer

A separate new-venture division is typically created to foster innovation, protect autonomy, and reduce day-to-day pressures, but developing a science-based business model is not a primary reason for its creation.

Reasons Why a Firm Might Benefit from the Creation of a Separate