PRC-3 · Chapter 3 · Question 70 of 70
A large conglomerate owns a hotel chain, a commercial airline, and a telecommunications network. These three entities operate almost as entirely separate companies with their own distinct strategies. They are known as:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) Strategic Business Units (SBUs)
Explanation
SBUs are autonomous divisions within a larger corporation that operate as independent profit centers with their own distinct products, markets, and competitors.
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