Strategic Management Formulation Implementation and Control CHAPTER 09 Multibusiness Strategy

Strategic - CHAPTER 09 Multi-business Strategy 1 INCORRECT Jerome Washington's company has decided to acquire two other businesses in order to

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CHAPTER 09 Multi-business Strategy 1 INCORRECT Jerome Washington's company has decided to acquire two other businesses in order to increase its growth and earning potential. In essence, Jerome's company desires to become a multibusiness company. Which one of the following would be least likely to be considered another valid rationale for why the company would desire to take this action? A)The company wants to be able to monopolize a portion of the market segment. B)The company wants to diversify risks. C)It wishes to increase vertical integration. D)It desires to have an instant market presence without waiting on the process of slow internal growth. Feedback: The correct answer is A. Please see the discussion under The Portfolio Approach: A Historical Starting Point, page 243. 2 INCORRECT The market share of a business divided by the market share of its largest competitor equals the business's ________. A)relative differentiation strategy B)BCG growth share matrix C)portfolio technique results D)relative competitive position
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CHAPTER 09 Multi-business Strategy Feedback: The correct answer is D. Please see the discussion under The BCG Growth-Share Matrix, page 244. 3 CORRECT
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This note was uploaded on 07/11/2011 for the course MRKT 5120 taught by Professor Durrani during the Spring '11 term at Shaheed Zulfiqar Ali Bhutto Institute of Science and Technology.

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Strategic - CHAPTER 09 Multi-business Strategy 1 INCORRECT Jerome Washington's company has decided to acquire two other businesses in order to

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