Ans: a strategy that focuses on gaining long-term revenue, profits, and market value
through managing operations in multiple businesses
2). Diversification
Ans: the process of firms expanding their operations by entering new businesses
3). Related diversification
Ans: a firm entering a different business in which it can benefit from leveraging core
competencies, sharing activities, or building market power
4). Economies of scope
Ans: cost savings from leveraging core competencies or sharing related activities
among businesses in a corporation
5). Core competencies
Ans: a firm's strategic resources that reflect the collective learning in the organization -
must enhance competitive advantage by creating superior customer value, different
businesses in the corporation must be similar in at least one impt way related to the core
competence, must be difficult to imitate/substitute
6). Sharing activities
Ans: having activities of 2+ businesses' value chains done by one of the businesses
7). Market power
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