Which of the Following Is True of a Functional Structure

question 43

Multiple Choice

Which of the following is true of a functional structure?

• A) It reacts quickly to environmental changes.
• B) It diminishes economies of scale compared to the divisional structure.
• C) It often results in hierarchy overload.
• D) It cannot work in small organizations.

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Definitions:

Outward Shift

A term often used in economics to describe a situation where a curve, such as the supply or demand curve, moves away from the origin, indicating an increase in supply or demand.

Production Possibility Frontier

A curve depicting the maximum achievable combination of two goods that can be produced with available resources and technology.

Technological Improvements

Advancements or enhancements in technology that lead to more efficient processes, better products, or improved ways of doing things.

Outward Shift

In economics, refers to the movement of a curve away from the origin in a graph, indicating an increase in quantity supplied or demanded due to various factors.