Companies that see the business environment as posing neither profitable opportunities nor threats will likely follow a ________ strategy.
A) growth
B) retrenchment
C) stability
D) combination

Question

Quizplus · Accepted Answer

A stability strategy is appropriate for companies that perceive no opportunities for growth or threats to their current market position. This strategy focuses on maintaining the status quo and improving operational efficiency. A growth strategy is pursued when opportunities for expansion exist, while a retrenchment strategy is adopted when a company is struggling and needs to downsize or divest unprofitable business units. A combination strategy involves both growth and retrenchment initiatives.

Companies That See the Business Environment as Posing Neither Profitable