Question

Virgin Group Ltd. successfully transfers its marketing core competence across airlines, cosmetics, music, drinks, mobile phones, health clubs, and a number of other businesses. Virgin follows a(n) __________ diversification corporate strategy.

Answer 1

The correct answer is Related Linked.

Step-by-step explanation:

Diversification is considered related when there are similarities between the resources used by businesses, distribution channels, markets, technologies, etc. Or any other element that allows complementing business with each other. In turn, Suárez Gonzalez distinguishes two types of related diversification based on the way in which different businesses are related to each other. Thus, a distinction is made between limited diversification (constrained diversification), most businesses are related to each other through an essential asset or competence located in the central business, and linked or linked diversification, each activity or business is related to at least one of the other activities, although not with an essential asset or competence.