In an Attempt to Stop Declining Profitability, ICI, a British

question 82

Multiple Choice

In an attempt to stop declining profitability, ICI, a British chemical company, deleted petrochemical products from its production and concentrated on specialty chemicals, a less capital-intensive, less cyclical business. If ICI is successful in making the needed changes, it will more than likely implement a____________ strategy.

• A) harvesting
• B) revitalization
• C) diversification
• D) revival
• E) recovery

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Definitions:

Competitive Environments

Market settings in which multiple firms vie for customers, driving innovations, efficiency, and benefiting consumers with better products and prices.

Experimental Evidence

Data or information obtained through controlled scientific experiments, often used to support or refute theories and hypotheses.

Profit-maximizing

The process by which a firm determines the price and output level that returns the greatest profit, where marginal costs equal marginal revenues.

Discriminate

To differentiate or make distinctions between individuals or groups based on characteristics such as race, gender, age, or other criteria, often leading to unfair treatment.