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1. This term refers to a company’s decisions about the business arenas in which it will operate and invest.
a) synergy
b) functional strategy
c) portfolio strategy
d) operational strategy
2. In this form of diversification, a company acquires either a supplier or a client. An example would be Lansing Grain acquiring grain-handling facilities from General Mills.
a) mutual diversification
b) unrelated diversification
c) vertical integration
d) related diversification
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