Question

"The last three years of severe drought conditions have been brutal to our lawn care business. We survived, but our business is too concentrated," said Rocco Camanetti, owner of Camanetti & Sons. "I propose that we expand in new areas—trucking, catering, and dry cleaning—to minimize our risks due to market fluctuations in one industry." Rocco is advocating a(n) _______________ strategy.

Answer 1

Answer:

unrelated diversification

Explanation:

The unrelated diversification strategy is a strategy in which an organization decides to manufacture a new product or offer a new service that is not related to the products or services they currently produce and enter into a new market. According to this, the answer is that Rocco is advocating an unrelated diversification strategy because he is proposing to enter to new markets to decrease the risk of depending on one.