Which of the Following Statements Is True

question 20

Multiple Choice

Which of the following statements is true?

• A) After a firm reaches a certain size, it needs multiple business-level strategies.
• B) Diversified firms need multiple business- level strategies.
• C) The simple structure is being replaced by the functional structure because of its inability to cope with the complexity of the modern economic environment.
• D) Once an organization develops the right structure, this structure will keep the organization "on course" indefinitely.

---

Definitions:

Overcharging Clients

The unethical practice of charging clients more than is fair or initially agreed upon for services or goods.

Fee-splitting

The practice of dividing professional fees for services with someone who referred a client or patient, often seen in the medical field.

Insider Trading

The illegal practice of trading on the stock exchange to one's own advantage through having access to confidential information.

Confidential Information

Sensitive data that is meant to be kept secret from unauthorized persons, usually because of its value or potential harm if disclosed.