The Product or Divisional Structure

question 48

Multiple Choice

The product or divisional structure:

• A) is not suited to fast change in an unstable environment.
• B) centralizes decision making.
• C) facilitates integration and standardization across product lines.
• D) allows units to adapt to differences in products, regions, and clients.

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Definitions:

Probability Distribution

Probability distribution describes how the probabilities of various outcomes are distributed for a random variable, outlining the likelihood of different results.

Perfectly Negatively Correlated

Describes two variables that move in opposite directions consistently, such that when one increases, the other decreases by an exactly proportional amount.

Risk-Free Portfolio

An investment portfolio constructed entirely of assets deemed to have no risk of financial loss, often consisting of government securities.

Expected Rate

The anticipated rate of return on an investment, accounting for all known factors and risks.