Company Z Has an Organizational Hierarchy with Salespeople at the Bottom

question 70

Multiple Choice

Company Z has an organizational hierarchy with salespeople at the bottom, who report to regional sales managers, who in turn report to a director of marketing. The director of marketing reports to the CEO. This is an example of which of Fayol's principles of management?

• A)centralization
• B)division of labor
• C)line of authority
• D)equity
• E)discipline

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Definitions:

LLPs

Limited Liability Partnerships, a business structure that offers its members limited personal liability for business debts and obligations, with some features of a partnership and some of a corporation.

LLCs

Limited Liability Companies, a flexible form of business enterprise that offers limited liability protection to its owners.

Manager-managed LLCs

A structure for a Limited Liability Company where the daily business operations are controlled and managed by appointed managers rather than by all its members.

Members

Individuals or entities that are part of a group, organization, or body, often with certain rights and responsibilities.