Final answer:
False. Divestment is a strategy that can be utilized for various reasons including political change; it is not solely a strategy of last resort for terminating business units. It has been effectively used for ethical and strategic purposes, as seen in historical efforts to end investment in apartheid South Africa.
Step-by-step explanation:
Divestment is not exclusively a strategy of last resort. Although it can be seen as a final measure to terminate a business unit by selling its assets, divestment can also be a proactive strategy for a variety of reasons, including political change, ethical considerations, financial restructuring, or strategic realignment of a company's operations. For example, historically, divestment has been used as a tool to influence political change by reducing or eliminating investments in a certain company, like the actions taken by US college students and African Americans to force colleges and governments to divest from companies that maintained business relationships with the apartheid South African government.
In some situations, a company may decide that it makes more sense to close operations by divesting certain assets instead of continuing to produce output that may not be profitable or aligned with the company's long-term strategy. Thus, the statement that divestment is the strategy of last resort and terminates the business unit by selling its assets is not entirely true as it oversimplifies the complex strategic considerations involved in divestment decisions.