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Retrenchment Strategies (Divestment (WHY? (Unable to face competition,…
Retrenchment Strategies
Divestment
WHY?
Unable to face competition
Better alternative avaliable for investment
Creating financial problems for whole organisation
business can't be integrated within the company
Liquidation
WHY?
Obsolescence of products
High competition
Business becoming Unprofitable
Failure of Strategy
Turnaround
WHY?
Noncompetitive Products
Mismanagement
Declining market share
continuous loses
High turnover of employess
Persistent negative cash flow