Question: How does the example below, show that there could be a problem with risk reduction through goal of diversification in businesses?(within a firm) ex.1 First

How does the example below, show that there could be a problem with risk reduction through goal of diversification in businesses?(within a firm)

ex.1 First Reason, Firm stockholders can diversify their portfolios at much lower cost than a corporation, and they don't have to worry about integrating the acquisition into their portfolio.

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