In 1997,Apex Medicals Inc.sold its chemical products division because the division was showing slow growth in a market that was rapidly expanding.Apex Medicals most likely used a _____ objective with its chemical products division.
A)hold share
B)build share
C)divest
D)harvest

Question

Quizplus · Accepted Answer

The decision to sell the chemical products division indicates that Apex Medicals Inc. used a divest objective, which involves getting rid of a business unit that is not performing well or is no longer aligned with the company's strategic goals. The fact that the division was showing slow growth in a rapidly expanding market suggests that it was not contributing to the company's overall success, and divesting it was the best course of action. This objective is in contrast to hold share (maintaining a steady market share), build share (increasing market share), or harvest (maximizing short-term profits from a business unit).