A retrenchment strategy is designed to ________.
A) encourage growth through joint ventures
B) reduce the scale or scope of a corporation's operations
C) focus exclusively on internally generated growth
D) guard against organizational change

Question

Quizplus · Accepted Answer

A retrenchment strategy involves reducing the scale or scope of a corporation's operations in order to improve efficiency, profitability, and competitiveness. This can involve divestitures, layoffs, or other measures to cut costs and streamline operations. It is often employed when a company is facing financial distress or operating in an overcrowded or declining market. The other options (A, C, and D) do not accurately describe a retrenchment strategy.

A Retrenchment Strategy Is Designed to ________