Question: 1 . Why and when do firms create value through diversification? 2 . Apple is primarily an electronics company, creating products for business and consumer
Why and when do firms create value through diversification?
Apple is primarily an electronics company, creating products for business and consumer markets. Apple also operates its own chain of retail outlets. In terms of Richard Rumelt's categories of the level of diversification, where does Apple fit?
List the reasons why diversification fails to add value. Which one do you believe is most common? Which is least?
What factors should executives consider when making a decision on entering a new market through greenfield entry versus making an acquisition?
How can acquiring firms increase the likelihood of a successful integration of an acquired firm?
Why do acquiring companies have to pay a premium when they acquire another firm? How does that premium create challenges for the acquiring firm?
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