Question
Chasebook is a US-based social network where people post videos of car chases they've participated in. It is considering the creation of a second site,
Chasebook is a US-based social network where people post videos of car chases they've participated in. It is considering the creation of a second site, To Be Kittermined, featuring videos of kittens chasing each other. If Chasebook uses the same sales team to sell ads to existing customers, for the new site, which synergies might be created?
Which of the choices below is the synergy created ?
Combination synergies - leveraging ownership of multiple sites to gain bargaining power over advertisers
Customer-specific synergies - by tracking customers across multiple sites, greater data/insights can be generated.
Diversifying shareholder risk - in case people tire of car chases
Consolidation synergies - using the same team, to talk to the same customers, instead of creating a new team reduces the number of people needed compared to what would be necessary if these businesses operated independently.
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