Question

Item 17Item 17 Which of the following best illustrates a dominant-business firm? Multiple Choice Fractal Products is a company whose multiple strategic business units contribute equally to the total corporate revenue. Riva Inc. is a luxury brand that derives 90 percent of its revenues from its apparel line and 10 percent of its revenues from its premium furniture business unit. Asphalt Autos is a company whose revenues solely come from selling automobiles. Alliance Metals is a firm that derives 50 percent of its revenues from its steel unit and another 50 percent from its automobile businesses.

Answer 1

Answer:

Option B Riva Inc. is a luxury brand that derives 90 percent of its revenues from its apparel line and 10 percent of its revenues from its premium furniture business unit.

Explanation:

The reason is that the dominant business is the one which earns above 75% within a single category of business line so here we only see Riva company one of the most dominant business earning 90% of revenue within the same category so the right option is option B.