WorksheetsGROWTH STRATEGIES
Total questions: 10
Worksheet time: 20mins
When a company expands by purchasing and controlling the direct distribution or supply of its products
Horizontal integration
Vertical integration
Acquisition
Merger
All of the following are benefits of rapid growth EXCEPT
Increased automation of processes
Increased compensation for labour
Improved marketing strategies
Increased sources of capital available
Where one firm takes a controlling interest of another firm:
Joint Ventures
Mergers
Acquisitions
Franchising
When a business grants a licence to use its brand and reproduce its product.
Joint Ventures
Mergers
Acquisitions
Franchising
Expanding the product line is an example of what type of growth?
Internal growth
External growth
When a business buys up a firm operating in the same stage of production
Horizontal integration
Vertical integration
Lateral integration
Internal growth
Joint ventures, mergers and acquisitions are all examples of what type of growth?
Internal
External
Organic
Branding
Which of the following is NOT a benefit to mergers and acquisitions?
Greater market share
Synergy
Diversification
Redundancies
Venture capital is usually given in the form of money ONLY
True
False
Which of the following is NOT an advantage of a corporate-backed start-up:
Market knowledge and experience
Exposure to more networks
Decreased risk of failure
Increased cost of operations
