If a firm is pursuing a growth strategy, the coevolution perspective would suggest that it divest slow-growth businesses and products.

Question

Quizplus · Accepted Answer

The coevolution perspective suggests that firms should focus on their core competencies and divest businesses and products that are not aligned with their growth strategy. Slow-growth businesses and products are not likely to contribute to the firm's overall growth, so it makes sense to divest them in order to free up resources for more promising ventures.

If a Firm Is Pursuing a Growth Strategy, the Coevolution