Final Answer:
Unrelated diversification is a corporate-level strategy in which firms own unrelated businesses and attempt to increase their value through an internal capital market and/or the use of external capital market. so the correct option is b. external capital market.
Step-by-step explanation:
Unrelated Diversification Definition:
The question introduces "unrelated diversification," a corporate-level strategy where firms own businesses with no obvious connections. The primary goal is to increase overall value through certain means.
External Capital Market in Unrelated Diversification:
The correct answer is "b. external capital market." This refers to the utilization of resources from outside the organization, such as seeking funds or investments from external sources. In unrelated diversification, companies may look to external markets to finance and support their diverse business ventures.
External Capital Market:
Companies engaging in unrelated diversification often tap into external capital markets to fund operations, acquisitions, or new projects. This strategy allows them to access additional financial resources beyond what their internal capital market might provide.
The correct choice aligns with the essence of unrelated diversification, emphasizing the role of external capital markets in enhancing the value of businesses with no apparent connections.so the correct option is b. external capital market.