The retrenchment strategy that calls for selling off part of the organization is called __________.
A) liquidation
B) downsizing
C) diversification
D) divestiture

Question

Quizplus · Accepted Answer

Divestiture is the retrenchment strategy that calls for selling off part of the organization. Liquidation refers to selling off all assets and shutting down operations completely. Downsizing is the reduction of workforce and/or departments within the organization. Diversification refers to expanding the organization into new markets or industries.

The Retrenchment Strategy That Calls for Selling Off Part of the Organization