South Park Erasures Is the Low-Cost Producer of One Type

question 97

Multiple Choice

South Park Erasures is the low-cost producer of one type of standard erasures.Given that it operates in a fairly stable environment,the company focuses on making its product as efficiently as possible.Which of these organizational structures may be appropriate for South Park?

• A)Multi-divisional
• B)Global
• C)Mechanistic
• D)Matrix
• E)Organic

---

Definitions:

Cost Center

is a segment of a business that does not directly generate revenue but incurs costs, like a human resources department.

Generates Revenues

The process through which a business earns income from its normal operations, typically through the sale of goods and services.

Profit Center

A unit or department that incurs costs and generates revenues.

Revenue Center

A division or unit within a business responsible for generating significant income.