Harvesting Strategy Law and Legal Definition
Harvesting strategy is a strategic management tool of reducing investments in a particular product, product line, or division in an effort to cut costs or improve cash flow. In this strategy, all marketing expenditure is gradually eliminated and the product is allowed to sell on its goodwill until sales revenue falls below a cutoff point. This strategy was popularized by the Boston Consulting Group through its application to products that have entered the declining stage of their life cycle.
