Evara Inc. started as a luxury brand for designer apparel. Soon, the company expanded by launching its own line of premium perfumes, watches, bags, and home furnishings. This expansion allowed the businesses under the company to share a few, if not all, of the common competencies in products, services, technology, and distribution. Which of the following corporate strategies is Evara pursuing in this scenario? A. taper integration strategy

B. niche marketing strategy

C. related-constrained strategy

D. related-linked strategy

Question

Business

Duncan Calderon

15 June, 00:20

Evara Inc. started as a luxury brand for designer apparel. Soon, the company expanded by launching its own line of premium perfumes, watches, bags, and home furnishings. This expansion allowed the businesses under the company to share a few, if not all, of the common competencies in products, services, technology, and distribution. Which of the following corporate strategies is Evara pursuing in this scenario? A. taper integration strategy

B. niche marketing strategy

C. related-constrained strategy

D. related-linked strategy

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Answers (1)

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Hector Guerra · Answer 1

Related constrained strategy is a type of strategy where a firm or organization shares resources, products, technology and distribution links among its businesses such as technology-based resources, high-speed Internet connection, wireless services, phone service businesses and so on. For businesses that operate on related constrained diversification, less than 70 percent of revenue comes from the dominant business.