Meghan says that pure conglomerates are not as common because companies that become pure conglomerates generally earn less revenue than companies that become mixed conglomerates. Explain whether Meghan is correct. A Meghan is correct. Companies that create a single product and intend to be bought out from a larger firm form a pure conglomerate, resulting in decreased revenues.

B Meghan is not correct. Companies that become pure conglomerates generally earn more revenue than companies that become mixed conglomerates.

C Meghan is correct. Companies that are struggling look for an acquisition to form a pure conglomerate, resulting in decreased revenues.

D Meghan is not correct. Pure conglomerates require companies to take on new industries, which have added costs compared to mixed conglomerates.