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Summary Review Questions
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  1. Discuss how managers can create value for their firm through diversification efforts.


  2. What are some of the reasons that many diversification efforts fail to achieve desired outcomes?


  3. How can companies benefit from related diversification? Unrelated diversification? What are some of the key concepts that can explain such success?


  4. What are some of the important ways in which a firm can restructure a business?


  5. Discuss some of the various means that firms can use to diversify. What are the pros and cons associated with each of these?


  6. Discuss some of the actions that managers may engage in to erode shareholder value.





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