Unlike a Functional Structure, a Divisional Structure

question 41

Multiple Choice

Unlike a functional structure, a divisional structure:

• A) organizes a company's units by its activities.
• B) is suitable for meganational companies.
• C) works without cross-functional communication.
• D) organizes a company's units by the customer segments it serves.

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Definitions:

Command Economy

An economic system where the government controls the production, distribution, and prices of goods and services.

GDP

Gross Domestic Product (GDP) is the total monetary or market value of all the finished goods and services produced within a country's borders in a specific time period.

Risk Problem

A situation or decision-making process involving uncertainty about various outcomes and their potential impacts on objectives.

Command Systems

Economic systems where the government or a central authority makes all decisions regarding the production and distribution of goods and services.