What is the focus of a divestiture in strategic maneuvers?

A divestiture is a strategic maneuver where a company decides to sell off or reduce specific assets or business units that are no longer aligned with its core objectives or that do not contribute to its profitability. The primary focus of a divestiture is to streamline operations by shedding non-essential parts of the business, thereby allowing the company to concentrate its resources on areas that are more profitable or strategically important.

By divesting, a company can also improve its financial health, pay down debt, or focus on its core competencies. This move can often lead to a more efficient allocation of resources and a clearer direction for the organization overall, reinforcing its strategic focus and long-term goals.

In contrast, the other choices pertain to different strategic objectives. Acquiring new businesses relates to growth strategies, expanding market share is about increasing presence in existing markets, and entering new domains refers to diversification efforts. These strategies focus on expansion rather than the primarily asset-reducing nature that characterizes a divestiture.