Lawrence and Lorsch Found That

question 35

Multiple Choice

Lawrence and Lorsch found that

• A) the more highly differentiated the firm, the lesser the need for integration among its units.
• B) focusing on integration may speed up innovation for a while in an organization.
• C) highly differentiated firms were more likely to fail in a complex environment if they failed to integrate their activities adequately.
• D) companies with more structural integration were more likely to introduce new products soon after acquisition.
• E) a firm's ability to launch new products is independent of its structural integration.

---

Definitions:

Accumulated Depreciation

The total amount of depreciation expense that has been recorded for an asset since it was put into use.

Long-term Investments

Investments made with the intention of holding the asset for an extended period, typically exceeding one year, such as stocks, bonds, or real estate.

Net Income

The total profit of a company after all expenses, including taxes and costs, have been deducted from total revenue.

Dividends

Payments made by a corporation to its shareholders, usually as a distribution of profits.