One definition of an SBU is
A) a qualitative description of the firm's strategic orientation in relation to customers and markets, products and services, geographic scope, and technology.
B) the method by which corporate management implements, evaluates, and controls the corporate strategic plan.
C) the corporate growth orientation of the firm.
D) a designated unit within a corporation that is operated like an individual business.
E) the firm's decision regarding market share objectives for different product lines.

Question

Quizplus · Accepted Answer

An SBU stands for a designated unit within a corporation that is operated like an individual business. This means that the unit is given autonomy in decision-making, resource allocation, and performance evaluation as if it were a standalone business. This allows the SBU to focus on its specific market or product, adapt to its unique environment and customer demands, and achieve better performance results.

One Definition of an SBU Is