How much will it cost and is it attractive

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Reference no: EM133443360

Question: Taylor owns and operates a firm that transports hunting and outdoor camping goods to the local community in Northern Canada. She has diversified by adding a business unit that transports ice to homes in the far North where the roads have grown so treacherous, consumers cannot travel to their grocers without facing grave danger from the weather and bears. When making this decision to diversify in this area, Taylor weighed the profit potential against the risk. To which test of diversification does this refer? Do I need to take a hunting rifle? How much will it cost? Is it attractive? Will the new unit and firm be better off?

Reference no: EM133443360

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