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The attractiveness test for evaluating whether diversification into a particular industry is likely to build shareholder value involves determining whether Multiple Choice conditions in the
The attractiveness test for evaluating whether diversification into a particular industry is likely to build shareholder value involves determining whether
Multiple Choice
conditions in the target industry allow for profits and return on investment that is equal to or better than that of the companys present businesses
there are attractive strategic fits between the value chains of the companys present businesses and the value chain of the new business it is considering entering.
shareholders will view the contemplated diversification move as attractive.
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