1.10 Dow Chemical, a leading chemical manufacturer, acquired Rohm and Haas Company, a maker of paints, coatings, and electronic materials, for $15.3 billion. Although Dow has competed profitably in the plastics business for years, this business has proved to have thin margins and to be highly cyclical. Because of the deal, Dow would be able to offer less cyclical and higher-margin products. Would you consider this related or unrelated diversification? Explain your answer. Would you consider this a cost-effective way for the Dow shareholders to achieve better diversification of their investment portfolios? (Appendix)