Question

Synergies arise when one or more of a diversified company's business units are able to lower costs because they can more effectively pool, share, and utilize expensive resources or capabilities. This is called:

Answer 1

Economies of scope

Step-by-step explanation:

Economies of scope -

The meaning of the term economies of scope is the reduction in the cost of a particular product due to the production of some similar product .

It refers to the situation where the marginal cost of the company or organization reduces , because of some production of the complimentary services or goods , is referred to as economics of scope .

Hence , from the given scenario of the question ,

The correct answer is Economies of scope .