Ba 462 6-10

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(list card numbers separated by commas i.e. 1,5,23,90)
In the chapter Opening Case, the sharing of marketing and distribution in the beer and wine business at Foster’s Group was intended to create ______. a. financial economiesb. vertical integrationc. economies of scoped. conglomerate discount| c. economies of scope (p.157) |

As noted in the Opening Case, in order to create synergy between its wine and beer business, Foster’s Group used the same sales force to sell mass market beer, cheap spirits, and premium wine. The sharing of these activities resulted in ______. a.increased profitsb. failurec. financial economiesd. unrelated diversification| b. failure (p.157) |

In the Opening Case, Foster’s Group was diversified and managed businesses that were highly related. The corporate-level strategy is best described as _____diversification. a. related constrainedb. related linkedc. unrelatedd. conglomerate| a. related constrained (p.157) |

Corporate-level strategy is concerned with ______and how to manage these businesses. a.whether the firm should invest in global or domestic businessesb. what product markets and businesses the firm should be inc. whether the portfolio of businesses should generate immediate above-average returns or should be troubled businesses which will create above-average returns only after restructuringd. whether to integrate backward or forward.| b. what product markets and businesses the firm should be in (p.158) |

The ultimate test of the value of a corporate-level strategy is whether the a. corporation earns a great deal of money.b. top management team is satisfied with the corporation's performance.c. businesses in the portfolio are worth more under the management of the company in question than they would be under any other ownership.d. businesses in the portfolio increase the firm’s financial returns.| c. businesses in the portfolio are worth more under the management of the company in question than they would be under any other ownership. (p.158) |

The more sharing of resources and activities among businesses, the more ______is the relatedness of the diversification. a. linkedb. constrainedc. integratedd. intense| b. constrained (p.159) |

A firm that earns less than 70% of revenue from its dominant business and has direct connections between its businesses is engaging in ______diversification. a. unrelatedb. related constrainedc. related linkedd. dominant business| b. related constrained (p.160) |

Revenues for United Parcel Service (UPS) come from the following business segments: 61 percent from U.S. package delivery operations, 22 percent from international package delivery, and 17 percent from non-packaging operations. Which best describes the corporate level strategy of UPS? a. Single businessb. Dominant businessc. Related constrainedd. Related linked| b. Dominant business (p.160) |

Which acquisition would be considered the LEAST related? a. a candy manufacturer purchases a chemical laboratory specializing in food flavoringsb. a chain of garden centers acquires a landscape architecture firmc. a hospital acquires a long-term care nursing homed. an upscale “white-tablecloth” restaurant chain acquires a travel agency| d. an upscale “white-tablecloth” restaurant chain acquires a travel agency (p.160) |

The lowest level of diversification is the ______level. a. single businessb. dominant businessc. related constrainedd. unrelatedd| a. single business (p.160) |

The term “conglomerates” refers to firms using the ______diversification strategy. a. unrelatedb. related constrainedc. related linkedd. global| a. unrelated (p.161) |

Hutchison Whampoa Limited (HWL) has businesses in ports and related services, telecommunications, property and hotels, retail and manufacturing, and energy and infrastructure. HWL makes no efforts to share activities or transfer core competencies among the businesses. HWL is...
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