Patent Laws

question 113

Multiple Choice

Patent laws

• A)reduce incentive to innovate by restricting market entry
• B)reduce incentive to innovate by making it difficult to use the patented innovation
• C)increase incentive to innovate by restricting entry into a market
• D)increase incentive to innovate by giving a firm permanent and exclusive production rights
• E)give a firm the right to provide a wide variety of goods or services

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Definitions:

Divisional Structure

An organizational layout where the company is divided into semi-autonomous units or divisions, each focused on a specific product line or geographic area.

Multidivisional Structure

A form of organizational structure where a company is divided into semi-autonomous divisions, each with its own set of functional units like marketing and finance.

Matrix Structure

An organizational structure that combines both functional and divisional departmentalization together with dual lines of authority.

Divisional Departmentalization

Organizing a business into divisions, each of which is responsible for its own set of related products, services, or market sectors.