When Should a Business NOT Be Divested

question 27

Multiple Choice

When should a business NOT be divested?

• A) When the business is worth more to another company than to the parent company
• B) When the business is a cash cow
• C) When the business provides valuable strategic or resource fits for another company
• D) When shareholders would be better served if the company sells the business for a generous premium
• E) When the business lacks the cross-boundary presence of shared values and cultural compatibility

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Definitions:

Common Form

A term often used to describe a standard version or widely used type of a document, application, or statement.

Violent Behaviour

Involves acts of physical force intended to harm or damage, often resulting from complex social, psychological, or biological factors.

Significant Increase

A noticeable or marked rise in quantity, size, or degree that is often statistically measured to confirm its importance.