When an organization attempts to grow by merging with or acquiring firms in different and unrelated industries, the strategy is known as a __________ strategy.
A) unrelated diversification
B) horizontal integration
C) vertical integration
D) unrelated differentiation
E) retrenchment

Question

Quizplus · Accepted Answer

This strategy involves expanding the organization's operations by acquiring firms in completely different and unrelated industries. It allows the organization to spread its risks and reduce dependence on any one industry. However, it also requires significant resources and expertise to manage diverse businesses successfully.

When an Organization Attempts to Grow by Merging with or Acquiring