Question: To create value for shareholders via diversification, a company must:A) spread its business risk across various industries by only acquiring firms that are strong competitors

To create value for shareholders via diversification, a company must:A) spread its business risk across various industries by only acquiring firms that are strong competitors in their respective industries.B) get into new busineges that are profitable.C) diversify into industries that are growing rapidly.D) diversify into businesses that can perform better under a single corporate umbrella than they could perform operating as independent, stand-alone businesses, 11 in diversification should add to 3 not 2.E) diversity into businesses having either key success factors or value chains that are similar to its present businesses.

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