Your organization mainly focuses on the production of bicycles for selling it around the world. In addition to this, the organization also produces scooters. The management wants to restrict its line of production to bicycles. Therefore, it decides to sell the scooter production department to another competitor. Which of the following terms best describes the sale of the scooter production department to your competitor?
- Rightsizing
- Divestiture
- Outsourcing
- Corporate restructure
Answer(s): B
Reference:
Professional in Human Resources Certification Study Guide, Sybex, ISBN: 978-0-470- 43096-5. Chapter Four: Workforce Planning and Employment. Official PHR and SPHR Certification Guide, HR Certification Institute, ISBN: 978-1-586-44149-4, Section III, The US Body of Knowledge.
Chapter: Business Management and Strategy
Objective: Strategic Management
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