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Research shows that increased firm size and greater levels of diversification are correlated with increased executive compensation

In spite of the challenges associated with it, a number of corporations continue to use the unrelated diversification strategy, especially in emerging markets

An analysis of the activity map of a successful company such as Southwest Airlines emphasizes how:

Focus strategies are:

Coca-Cola and PepsiCo compete across a number of products (e.g., soft drinks, bottled water) and geographic markets (U.S. and foreign markets) indicating that the companies have market commonality

Contract manufacturers who manage their customers’ entire product lines and offer services ranging from inventory management to delivery and after-sales services are prime examples of vertical integration

In general, firms can be MOST effective if they develop business-level strategies that will serve the needs of the “typical customer” in the industry

Without strict governance mechanisms, the majority of executives will act in their own self-interest rather than acting as positive stewards of firm resources

Acquisitions to increase market power require that the firm have a(n) __________ diversification strategy.

Many compositional features of the Earth, including its abundant surface water, are unique in the solar system.