A company specializing in producing mass market cars acquires a company which specializes in financial services. The new company can now offer financial services to its car purchasers. What form of diversification is this?

A Resource-based
B Unrelated
C Routine-based
D Replication-based

Correct Answer: Unrelated

A company specializing in producing mass market cars acquires a company which specializes in financial services. The new company can now offer financial services to its car purchasers. Unrelated form of diversification is this. Unrelated Diversification is a form of diversification when the business adds new or unrelated product lines and penetrates new markets.
Bissoy MCQ
#Management #Strategic Management

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