Reorganizing in Order to Compete Better May Require a Firm

question 55

True/False

Reorganizing in order to compete better may require a firm to reduce its number of business units.
If a firm wants to remain competitive,it has the option to reevaluate the corporate structure of its business and determine which business units and operational units are benefiting the bottom line,and which may need to be re-organized or sold.

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Definitions:

Oil Reserve

An estimate of the amount of crude oil located in a particular economic region with the potential of being extracted and exploited.

Profit Per Barrel

The amount of financial gain realized from the sale of one barrel of a commodity, often used in the context of oil production.

Extract

To remove or take out, especially by effort or force.

Present Value

The worth today of a sum of money or cash flows expected in the future, calculated using a specified return rate.