RGM® Glossary · Finance & Unit Economics
Growth Glossary — Definition
SHT DIVESTITUREDivestiture
Sale of business unit or asset. A working definition from the RGM marketing glossary.
Sale of business unit or asset.
- Term
- Divestiture
- Field
- Finance & Unit Economics
- Category
- Finance & Unit Economics
Mistakes worth avoiding
Keep this in mind.Four failure modes recur with Divestiture. Name them and they are easy to design around.
- One blanket rule. Applying Divestiture the same way everywhere. Split it by audience, channel, and business model.
- Bare numbers. Showing Divestiture on its own. Context is what makes it readable.
- Vanity focus. Gaming Divestiture instead of the result. Tie it to business value.
- Apples to oranges. Comparing Divestiture across firms raw. Adjust for pricing and cycle before you read it.
Frequently asked questions
What is Divestiture?
Sale of business unit or asset. In short, fix that meaning before any tactic is debated.
What makes Divestiture worth knowing?
Divestiture shows up in budget reviews and channel reporting. Use it loosely and teams pull apart; use it precisely and the numbers line up.
How do teams use Divestiture?
Divestiture supports a real choice: where money goes, what gets measured, which option wins. The Calm case traces it.
What goes wrong with Divestiture most often?
Using Divestiture flat across every segment and showing it without context. Both make a guess look exact.
Where can I learn more about Divestiture?
The related terms below are a good next step; from there, see marketing mix modeling, plus incrementality testing.
- What is Divestiture?
- Sale of business unit or asset. In short, fix that meaning before any tactic is debated.
- What makes Divestiture worth knowing?
- Divestiture shows up in budget reviews and channel reporting. Use it loosely and teams pull apart; use it precisely and the numbers line up.
- How do teams use Divestiture?
- Divestiture supports a real choice: where money goes, what gets measured, which option wins. The Calm case traces it.