BSG Final Exam Questions and Answers 2023
1. Brinker International operates restaurants in several different segments of the casual
dining market. This is
a. a relatively high level of diversification. b. an example of product diversification.
c. unlikely to reduce variability in the firm's profitability since the restaurants are all in the
casual dining category.
d. an example of related linked diversification.: b. an example of product diver- sification.
2. On the most basic level, corporate-level strategy is concerned with
and how to manage these businesses.
a. whether the firm should invest in global or domestic businesses b. what product markets
and businesses the firm should be in
c. whether the portfolio of businesses should generate immediate above-av- erage returns or
should be troubled businesses which will create above-av- erage returns only after
d. whether to integrate backward or forward.: b. what product markets and businesses the firm
should be in
3. Which acquisition would be considered the LEAST related?
a. a candy manufacturer purchases a chemical laboratory specializing in food flavorings.
b. a chain of garden centers acquires a landscape architecture firm. c. a hospital acquires a
long-term care nursing home.
d. an upscale "white-tablecloth" restaurant chain acquires a travel agency: d. an upscale
"white-tablecloth" restaurant chain acquires a travel agency
4. The more "constrained" the relatedness of diversification,
a. the less likely the firm's portfolio of businesses will reduce the firm's variability in
b. the wider the variation in the portfolio of businesses owned by the firm.
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