What can a market focus encourage within ABC's recycling division?

• A. Increased standardization to reduce costs.
• B. Outsourcing all R&D functions to external firms.
• C. Product development and creative solutions.
• D. Halting new product ideas to preserve existing lines.

Answer: (C)

Focusing on the market means listening to what customers need, watching trends, and seeking ways to create real value. When a division centers its efforts on these market signals, it naturally pushes teams to innovate—to develop new products and find creative solutions that meet evolving demands. In ABC’s recycling division, this could mean designing new recycling processes, identifying new material streams, or offering value-added services that address customers’ sustainability goals and regulatory requirements.

The other options sit more with internal efficiency or risk aversion: pushing for standardization to cut costs trades off customization and innovation; outsourcing all R&D reduces internal capability and may detach the work from market needs; and stopping new ideas directly contradicts the drive to respond to market opportunities.