Retrenchment Would Be an Effective Strategy When an Organization

question 37

Multiple Choice

Retrenchment would be an effective strategy when an organization

• A) has shrunk so quickly that major internal reorganization is needed.
• B) is one of the stronger competitors in a given industry.
• C) is plagued by inefficiency, low profitability, poor employee morale, and pressure from stockholders to improve performance.
• D) has decided to capitalize on opportunities, maximize threats, take advantage of strengths, and overcome weaknesses.
• E) does not have a clearly distinctive competence and has failed to meet its objectives and goals consistently over time.

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Definitions:

Social Processes

The patterns of interaction and social mechanisms that guide individual and group behavior.

Corporate Social Responsibility

A business model that helps a company be socially accountable—to itself, its stakeholders, and the public.

Ecologically Sustainable

Practices or actions that meet current needs without compromising the ability of future generations to meet their own, with particular consideration for environmental impact.

Accountable

Being responsible for one's actions and outcomes, and having an obligation to report, explain, or justify them.