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BigorU [14]
3 years ago
8

_____ is a strategy for reducing risk by buying a variety of items so that the failure of one stock or one business does not doo

m the entire portfolio. Group of answer choices Diversification Exit planning Retrenchment Downsizing
Business
1 answer:
Allisa [31]3 years ago
8 0

Answer: Diversification

Explanation: Diversification strategy involves widening the scope of the organization across different products and market sector. Furthermore, it is used to expand firms operations and productivity by adding markets, products, services, or stages of production to the existing business and the main aim of diversification is to minimize the risk by investing in range of products. It helps in reducing the market volatility.

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Depending upon the involvement shown in buying the products, the type of buying decision making can be categorized as:

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<u>Routine response behavior </u>is exposed when the consumer is familiar with the product to-be-purchased and also on purchasing low cost goods. Generally people will show less involvement in frequently buying products.

<u>Extensive Decision Making </u>occurs while purchasing the expensive product. These products are unfamiliar and are not bought frequently. So their involvement level will be high.

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nikitadnepr [17]
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