Final answer:
A diversifying strategic alliance is characterized by lower financial costs and more managerial expertise.Correct answer is B
Step-by-step explanation:
A diversifying strategic alliance can be characterized by lower financial costs and more managerial expertise.
In a diversifying strategic alliance, two or more firms come together to pursue new markets, products, or technologies. This allows them to share the financial costs of entering a new market or developing a new technology while also leveraging each other's managerial expertise.
For example, a technology company may form a diversifying strategic alliance with a manufacturing company to jointly develop and produce a new product. The technology company brings its expertise in product development, while the manufacturing company brings its expertise in production and distribution. Both companies benefit from lower financial costs and access to additional managerial expertise.