Lesson 1, Topic 1
In Progress

Reasons for Restructuring

  • Financial difficulties: Companies facing financial challenges may restructure to reduce costs, eliminate nonessential business units, or renegotiate debt.
  • Market changes: Organizations may need to adapt to shifts in consumer preferences, technological advancements, or competitive landscapes.
  • Mergers and acquisitions: Restructuring often occurs when two or more companies combine their operations, requiring integration and consolidation efforts.
  • Strategic realignment: A company may restructure to align its resources and capabilities with new strategic priorities or business objectives.
  • Organizational inefficiencies: Restructuring can address operational inefficiencies, improve processes, and enhance overall performance.

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