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true or false 1 . Because firms operating in single industries are more susceptible to industry downturns, most firms eventually diversify into other industries. 2

true or false 1. Because firms operating in single industries are more susceptible to industry downturns, most firms eventually diversify into other industries.
2. The growth strategy is always the most effective strategy for a healthy firm.
3. Synergy occurs when the combination of two organizations results in higher effectiveness and efficiency than would otherwise be generated by them separately.
4. Strategic alliances typically involve higher bureaucratic and developmental costs when compared to mergers and acquisitions.
5. Corporate restructuring involves the acquisition of business units unrelated to the firm's core business unit.
6. The BCG matrix provides managers with a systematic means of determining whether a growth, stability, or retrenchment strategy should be adopted.

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