A Consumer Products Firm with a Functional Structure Is Expanding

question 64

Multiple Choice

A consumer products firm with a functional structure is expanding from a single product line into several diverse product groups, with most sales within the one country. What form of departmentalization should it eventually adopt to manage the new conditions most effectively?

• A)Matrix structure
• B)Network structure
• C)Geographic divisional structure
• D)Keep the functional structure
• E)Product divisional structure

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Definitions:

Portfolio Beta

A metric assessing how a portfolio's risk and volatility stack up against that of the general market.

Treasury Bills

Short-term U.S. government debt obligations backed by the Treasury Department with a maturity of less than one year.

Portfolio Expected Return

The anticipated return on an investment portfolio based on the predicted returns of its individual securities and their respective weights.

Royal Bank

A financial institution that is chartered or authorized to operate under a royal charter.