AbbVie is a pharma company. In the beginning of 2019, beta of AbbVie was 1.65, the risk-free rate was 3%, and the market return was 12%. In October of 2019, AbbVie acquired another big pharma company called Allergan for $63 billion to increase the diversity of its drug portfolio. The acquisition reduced the firm's risk and thus AbbVie's beta was 1.35 in 2020. Assuming that the risk-free rate and the market returns did not change during this time period, how much did the acquisition of Allergan reduce AbbVie's cost of equity

Coca-cola was primarily known for its core competencies in marketing, bottling, and distributing aerated drinks. however, with the success of gatorade, coca-cola developed competencies in the development and marketing of its own sports drink, powerade. which of the following is true of coca-cola? a. it is leveraging existing core competencies to improve current market position. b. it is building new core competencies to protect and extend its current market position. c. it is redeploying and recombining existing core competencies to compete in markets of the future. d. it is targeting the chasm between the early adopter and early majority market segment.