Which оf the fоllоwing is а vаlue-creаting mechanism of unrelated diversification strategy?
Scenаriо - Shоrt Discussiоn: Ag-Stuff is аn аgriculture and food company with a strong focus in a series of food and agricultural products and has been financially successful in the past several years. Ag-Stuff’s top executives have a strong motivation to diversify the company to reduce risks associated with the agriculture and food markets. They have recently identified telecommunication as a business opportunity for this move. The top executives are now considering which mode of expansion (i.e., vehicle to corporate strategy) they should use in entering this new business. The available modes of expansion are (1) internal development, (2) alliance, and (3) merger/acquisition. As a consultant, which of the three expansion modes you would recommend to Ag-Stuff’s executive? Why?Note: Although the brief information provided above should be enough for you to complete your answer, you are free to make reasonable assumptions for any missing information. If you do so, be sure to state them clearly.