Total Revenue $3,000 Per Week Total Variable Cost $2,000 Per

question 69

Multiple Choice

Total Revenue $3,000 Per Week Total Variable Cost $2,000 Per Week Total Fixed Cost $2,000 Per Week Let us suppose Harry's, a local supplier of chili and pizza, has the revenue and cost structure shown here.

• A)Harry's should stay open in the long run.
• B)Harry's should shut down in the short run.
• C)Harry's should stay open in the short run.
• D)Harry's should shut down in the short run but reopen in the long run.

---

Definitions:

Mechanistic Structure

An organizational configuration that emphasizes hierarchy, rigid departmentalization, a clear chain of command, and strict control, commonly found in highly formalized and centralized organizations.

Organic Structure

An organizational configuration characterized by flexibility, decentralized decision-making, and a lack of rigid procedures.

Innovative Ideas

Novel concepts or proposals that have the potential to bring about significant changes or improvements in a specific field.

Process Innovation

The introduction of new or significantly improved methods in the production or delivery of goods and services.