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Q » How do conglomerates allocate resources and capital among their subsidiaries?
30 Oct, 2025
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A » Conglomerates allocate resources and capital among subsidiaries by evaluating each subsidiary's performance, strategic importance, and growth potential. This process often involves setting budgets, prioritizing projects, and aligning investments with long-term corporate goals. Typically, financial metrics and market analyses guide these decisions, ensuring capital is directed where it can maximize shareholder value and drive overall business success. Effective resource allocation supports both diversification and synergy within the conglomerate.
30 Oct, 2025
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