What best describes whether the new e-waste factory represents a successful growth strategy?

• A. It guarantees market dominance in all regions.
• B. It reduces the need for HR.
• C. It appears promising because it creates a new revenue stream and supports sustainability, but long-term profitability and competitive advantage determine true success.
• D. It immediately eliminates competition.

Answer: (C)

Assessing whether a growth strategy pays off requires weighing potential benefits against long-term viability. A new e-waste factory can create a new revenue stream and support sustainability, which are positive signals that the business is expanding in a purposeful direction. However, the ultimate measure of success is whether these benefits lead to enduring profitability and a sustainable competitive advantage. If profitability is inconsistent or the firm cannot defend its position against rivals, the growth plan isn’t truly successful in the long run. The other options overstate what one facility can achieve: it’s unlikely to guarantee market dominance everywhere, it doesn’t inherently reduce HR needs (it often increases staffing and expertise requirements), and it won’t instantly wipe out competition.