scorched earth policy
Definition
Defense maneuver against hostile takeover attempt designed to make the target firm unattractive, such as by selling off its most valuable assets and/or scheduling its entire debt to become due upon a merger. It takes its name from the Chinese guerilla warfare tactic (called 'jiaotu' or 'zhèngcè') of burning or destroying everything that might be of any use to an invading enemy.
scorched earth policy is in the Decision Making, Problem Solving, & Strategy subject.
scorched earth policy appears in the definition of the following term: shark repellant
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