What is the primary reason for over diversification

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1. What is the primary reason for over diversification? Is it industrial policies, such as taxes and antitrust regulation, or do firms over diversify because managers pursue their own self-interest through increased compensation and a reduced risk of job loss? Why?

2. By the year 2019 will large firms be more or less diversified than they are today? Why? Will the trends regarding diversification be identical in Mexico, the United States, and Japan?

3. Provide an example of an online retailer that successfully encourages suggestion selling (the selling of items in addition to the original/intended purchase) and explain how it does this.

Reference no: EM132299745

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