[solved] Economies of scope

are the single biggest benefit of pursuing unrelated diversification.

are present whenever diversification satisfies the industry attractiveness test and the cost-of-entry test.

are cost reductions that flow from operating in multiple businesses.

stem from cost-saving efficiencies that arise when sister business operate over a wider geographic area.

arise mainly from scale economy efficiencies in the production and distribution portions of the value chains of unrelated businesses.

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09-10-22 | 06:00:51

Economies of scope

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