Diversification is possible only in the case of_______.

Small companies

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Large companies

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Medium companies

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Multinational companies

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Solution

The correct option is B Large companies
Diversification refers to expansion of products and services of a company with respect to its size, color, shape etc. Diversification usually takes place in large companies because of ample of capital that is available with these companies which can be invested for the expansion of products and services.

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