When a company approaches market share growth under a harvest strategy,
A)the company aims to increase its market share in the industry, even at the expense of short-term earnings and cash flow.
B)the company seeks to maintain its current market share but build its return on investment.
C)the company focuses on short-term profits and cash, even at the expense of market share.
D)the company focuses on long-term profits and return on investment.

Question

Quizplus · Accepted Answer

When a company approaches market share growth under a harvest strategy, it focuses on short-term profits and cash, even at the expense of market share. The goal is to maximize the return on investment by optimizing the use of existing assets and minimizing costs. This strategy is typically employed when the industry is in decline or when the company has limited resources to invest in growth.

When a Company Approaches Market Share Growth Under a Harvest