B. backward integration. C. liquidation. D. retrenchment. What kind of strategy is retrenchment? What strategy involves reducing the scope of an organization”s operations? Bankruptcy a. should never be used as a strategy. B. should be used only when one is legally forced to do so. C. can be an effective type of retrenchment strategy. Which of these is not a type of bankruptcy described in your text? In what type of bankruptcy is a liquidation procedure used only when a corporation sees no hope of being able to operate successfully or to obtain necessary creditor agreement?