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Which of the following is NOT a potential advantage of related diversification? a . Related diversification can help the firm to achieve economies of scale
Which of the following is NOT a potential advantage of related diversification?
a
Related diversification can help the firm to achieve economies of scale by increasing the volume of its overall production.
b
Related diversification can provide a source of stability for the firm by reducing the impact of economic downturns in one industry on the overall performance of the firm.
c
Related diversification can help to reduce risk by spreading out investments across a range of related businesses.
d
Related diversification can help the firm to enter into completely different industries that may have higher growth potential than its current markets.
e
Related diversification can provide opportunities for the firm to leverage its resources, such as its distribution channels, production facilities, or management expertise, across multiple related businesses.
f
Related diversification can provide a source of competitive advantage for the firm by allowing it to offer a broader range of products or services to its customers.
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