Adelio Garcia owns an industrial equipment company named Get Smart Industrial that sells three products in the

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Adelio Garcia owns an industrial equipment company named Get Smart Industrial that sells three products in the oil services industry, using a direct sales force to do so. Adelio wants to grow the firm by adding new products but is receiving resistance from the CFO, who argues that adding new products will increase inventory costs and place a strain on the company’s cash flow. While sensitive to the CFO’s concerns, what arguments can Adelio make in favor of adding new products as a path to firm growth?

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