Which of the Following Determines the Degree of Decentralization of a Firm

question 32

Multiple Choice

Which of the following determines the degree of decentralization of a firm?

• A) the degree to which lower-level management is empowered to make decisions
• B) the chain of command used to follow the flow of authority from top of the hierarchy to the lowest levels
• C) the geographical area served by the firm's operations
• D) the degree of product standardization desired by the marketplace

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Definitions:

Government

The system or group of people governing an organized community, often a state.

Sellers

Individuals or entities that offer goods or services in exchange for payment.

Price Ceiling

A legally imposed limit on how high a price can be charged for a product, service, or resource.

Quantity Demanded

The total amount of a goods or services consumers are willing and able to purchase at a specific price point.