Differences in Subunit Power Are Likely to Be Reduced When

question 131

True/False

Differences in subunit power are likely to be reduced when resources become scarce.

---

Definitions:

Logistics Department

The division of a company responsible for the management of the movement and storage of materials, goods, and information.

Operating Divisions

Sections of a business organization that operate semi-autonomously, typically responsible for their own budgeting and profit and loss.

Variable Costs

Expenses that change in proportion to the level of production or sales volume.

Fixed Costs

Expenses that do not change regardless of the level of production, like leases and salaries.