Kraft purchased the Duracell Battery Company and now operates this division as a separate profit center within the firm. In this example, Duracell is a(n) ____ unit of Kraft.
A) strategic business
B) marketing
C) dependent
D) independent
E) corporate

Question

Quizplus · Accepted Answer

Duracell, as a separate profit center, is a strategic business unit (SBU) within Kraft. SBUs are individual company divisions that are responsible for their own profits and have their own business strategy, allowing the parent company to diversify and manage risk.

Kraft Purchased the Duracell Battery Company and Now Operates This