Updated: Aug 20, 2021

The disposal of part of its activities by a firm. This sometimes reflects the commercial judgement that the activity concerned would be more profitable operating independently or run by another firm. In other cases, divestment is required by anti-monopoly regulators to reduce a firm’s monopoly power.

Reference: Oxford Press Dictonary of Economics, 5th edt.

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James Knight
Editor of Education
James is the Editor of Education for Invezz, where he covers topics from across the financial world, from the stock market, to cryptocurrency, to macroeconomic markets.... read more.