The Primary Factors That Cause Firms to Change from a Functional

question 31

True/False

The primary factors that cause firms to change from a functional structure to a multidivisional structure are the CEO's increasingly limited ability to set a strategic direction for the firm and the focus of functional managers on local issues.

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Definitions:

Equal Wages

The principle or goal of ensuring that employees are paid the same amount for the same work, regardless of gender, race, or other potentially discriminatory factors.

National Sales Tax

A tax applied to the sale of goods and services at the national level.

Tariff Rates

Import duties, also known as tariff rates, are financial charges applied to imported goods, influencing trade and economic policies.

Income Taxes

Taxes levied by governments on individuals' or entities' income, varying according to income levels and sources.