Question

At Cooper Industries, there are few similarities in the products it makes or the industries in which it completes. The corporate office adds value through such activities as superb human resource practices and budgeting systems. This is an example of __________________.

A. using related diversification to achieve value by leveraging core competencies to attain economies of scope

B. using related diversification to achieve value by leveraging core competencies to acquire market power

C. using unrelated diversification to achieve value through portfolio management in order to acquire financial synergies

D. using unrelated diversification to achieve value through restructuring and parenting

Answer

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