In 2020, many companies used the opportunity brought by COVID to close poor performing business units and retail outlets. One example was jeweller Michael Hill that will deliver higher profits in 2021, despite many store closures and staff lay-offs. At the same time, Solomon Lew's Premier Investments threatened to shut up to 350 of its 1040 Australasian stores and lay off staff if landlords did not agree to new, lower rent deals.

Select a theory taught this week and use it to interpret these types of corporate behaviour.