Learning Objectives
After reading this chapter, you should be able to :
- Differentiate
between multibusiness models based on related and unrelated diversification - Explain
the five primary ways in which diversification can increase company
profitability - Discuss
the conditions that lead managers to pursue related diversification versus
unrelated diversification and explain why some companies pursue both
strategies - Describe
the three methods companies use to enter new industries: internal new
venturing, acquisitions, and joint ventures - Discuss
the advantages and disadvantages associated with each of these methods
