When evaluating strategic fit benefits that related diversification can deliver, one must keep in consideration a number of factors. Which one is not relevant?
A. Cross-business strategic fit benefits are not automatically realized; the benefits materialize only after management has successfully pursued internal actions to capture them.
B. Shareholder value stemming from a diversified business cannot be replicated by simply owning a diversified portfolio of stocks.
C. Shareholder value is created when the diversified company's profitability exceeds expectations.
D. The capture of cross-business strategic fits benefits is possible only through related diversification.
E. Related diversification is the process of holding the stock of many businesses in a portfolio.