With a Hollow Structure, the Organization

question 61

Multiple Choice

With a hollow structure, the organization

• A) is a rigid nonadaptive structure.
• B) groups activities around similar products or services.
• C) has a central core of key functions and outsources others to vendors who are less expensive or faster.
• D) is often called a horizontal organization.
• E) assembles product chunks, or modules, provided by outside contractors.

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Definitions:

Exchange Rate

The rate at which one currency can be exchanged for another.

Relative Purchasing Power Parity

An economic theory that suggests the rates of inflation between two countries will affect the exchange rate between their two currencies.

Expected Inflation

An estimation of the rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling.

Real

Pertaining to tangible or actual assets, situations, or values, as opposed to hypothetical or projected ones.