The nature of work and the workflow in the animation department of Hanzel Talkies, a movie production company, completely differs from that of other departments in the company. Hence, Hanzel Talkies decides to branch the animation department out into a new company by selling the stock to outside investors. In this scenario, Hanzel Talkies is using a strategy called a(n):
A) conglomerate merger.
B) acquisition.
C) carve-out.
D) cross-boundary subsidization.

Question

Quizplus · Accepted Answer

A carve-out is a strategy where a company sells a portion of its business, such as a department, to outside investors, effectively creating a new company.

The Nature of Work and the Workflow in the Animation