With a harvest strategy, you would expect the level of investment in plant and equipment to be
A) lower than for a growth strategy
B) the same as that for a growth strategy
C) higher than for a growth strategy
D) unrelated to the strategy

Question

Quizplus · Accepted Answer

With a harvest strategy, the focus is on maximizing short-term profits, which often involves reducing costs, including capital expenditures. Therefore, the level of investment in plant and equipment is expected to be lower than for a growth strategy.

With a Harvest Strategy, You Would Expect the Level of Investment