What Is the Main Disadvantage of a 'Network Structure

question 44

Multiple Choice

What is the main disadvantage of a 'network structure'?

• A) The lack of rigid tiers of management.
• B) The more ambitious staff demand a clear path.
• C) Difficulty in promotion, staff turnover and lack of leadership or support.
• D) Lack of face-to-face communication.

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Definitions:

Sole Proprietorship

A business structure where a single individual both owns and runs the company, often leading to simpler administrative requirements but unlimited personal liability.

Government Regulations

Laws and rules established by governmental agencies that businesses must follow to ensure compliance with standards and protections for consumers, employees, and the environment.

Chief Accounting Officer

This is an executive role responsible for overseeing the accounting operations and financial reporting of a company.

Corporation

A legal entity that is separate from its owners, who own shares in the company and have limited liability.