potential economies of scope
Consider the following list of strategies.
In your view, which are examples of potential economies of scope underlying a corporate diversification strategy?
For those strategies that are an economy of scope, which economy of scope are they? For those strategies that are not an economy of scope, why aren’t they?
PepsiCo distributes Lay’s Potato Chips to the same stores where it sells Pepsi.
Wal-Mart uses the same distribution system to supply its Wal-Mart stores, its Wal-Mart Super Centers (Wal-Mart stores with grocery stores in them), and its Sam’s Club.[unique_solution]
Head Ski Company introduces a line of tennis rackets.
General Electric borrows money from Bank of America at 3% interest and then makes capital available to its jet engine subsidiary at 8% interest. 200 words or one paragraph
Discussion Board (Week 15) Options Menu: Forum
Pick one M&A case from recent news as your example. You can choose any M&A case from TV news or Google news. Based on FTC categories, identify what type of mergers and acquisitions your example is. Is it vertical, horizontal, product extension, market extension, or conglomerate M&A? And explain why the type is appropriate for your M&A example.
By creating a new thread, post your opinions for each question until Wednesday (11:59pm) and provide at least two comments to other students’ postings by Friday (11:59 pm ET). 200 words or one paragraph