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nadezda [96]
3 years ago
6

Which of the following is NOT one of the appeals of diversifying into unrelated businesses?

Business
1 answer:
aliya0001 [1]3 years ago
7 0

Answer:

a) The relative ease of growing shareholder value by capturing cross-business financial synergies that will quickly drive the company's overall financial performance to higher levels.

Explanation:

The first option is not a benefit of entering/diversifying into an unrelated business because growing shareholder value in this way is not easy. Entering a totally unrelated business(like a product in another industry for example) to the business the company is currently in may very well diversify anD spread out the risks but isn't easily achievable in the sense that it is not easy to succeed since this is a new business that the company is venturing into and would have to work towards securing it's space in the market. Therefore growing shareholder value in this way won't be easy as shareholders may also retract

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2 years ago
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