Final answer:
GE is an unrelated firm that has successfully transferred core competencies across its diverse strategic business units, demonstrating the strengths of a conglomerate's diversification and synergy.
Step-by-step explanation:
The correct answer to the question is: Although a unrelated firm, GE (discussed in the Chapter 6 Opening Case) has done an exceptional job of transferring core competencies across its four major strategic business units.
GE is considered an unrelated firm because it operates multiple strategic business units (SBUs) that are diverse and not necessarily linked to one another. This approach is in line with the concept of a conglomerate, which owns various businesses making unrelated products. By being unrelated, GE benefits from diversification, whereby the various SBUs can help sustain profits if one experiences downturns. The transfer of core competencies involves taking the strengths and capabilities from one part of the company and leveraging them across other parts to gain competitive advantages.