Question

Which of the following is an example of a corporate strategy?

A) Diversify product line to appeal to more people.
B) Imitate products of competitors.
C) Pay highest salaries to keep high quality employees.
D) Develop and sell quality appliances worldwide.
E) Divide a sales region into a group of sales districts.

Answer 1

The correct example of a corporate strategy is A) Diversify product line to appeal to more people, as it aligns with historical business trends and the concept of reducing risk through a broader market appeal.

Step-by-step explanation:

Among the choices given, the option that best represents an example of a corporate strategy is A) Diversify product line to appeal to more people. Diversification is a strategic approach where a company expands its product offerings to appeal to a broader market segment and reduce risks by not relying on just one or a few products. This strategy aligns with historical trends in business where diversification under a conglomerate or through franchises, such as fast food restaurants like McDonald's, has demonstrated success.

Meanwhile, approaches like imitating products of competitors, paying higher salaries to employees, and developing and selling quality appliances worldwide can also be strategic moves, but they are more closely related to competitive, operational, and international strategies respectively. Additionally, dividing a sales region into sales districts falls within the scope of organizational structure and sales management rather than overarching corporate strategy.