Limeria Inc, an industrial paint manufacturing company, has been incurring losses. In an attempt to stop this, it removed synthetic distempers from its product list and concentrated on enamel paints, a less capital-intensive business. Which of the following grand strategies was used by Limeria in this scenario?

A) The stability strategy

B) The growth strategy

C) The retrenchment strategy

D) The acquisition strategy

The correct answer is C

Explanation:

The retrenchment strategy is the kind of strategy or tool which is used so that to cut the expense with the objective of becoming a more financial stable business.

This strategy comprise of withdrawing from some markets or the discontinuation of selling some service and products so that to make beneficial.

So, in this case, the strategy which is used by the Limeria is the retrenchment strategy as remove the synthetic distempers from the list of products and concentrate on paints.