Which strategy should be implemented when a division is responsible for an organization's overall poor performance?
A) backward integration
B) divestiture
C) forward integration
D) cost leadership
E) related diversification

Question

Quizplus · Accepted Answer

Divestiture is the best strategy when a division is responsible for an organization's overall poor performance as it involves selling off or disposing of the underperforming division. This allows the company to refocus its resources and efforts on the more profitable areas of the business. Backward and forward integration, cost leadership and related diversification are not as effective in addressing poor divisional performance.

Which Strategy Should Be Implemented When a Division Is Responsible