​An Example of an M-Type Organizational Architecture Based on Customer

question 56

Multiple Choice

​An example of an M-type organizational architecture based on customer type is when divisions are defined as

• A)​R&D,Engineering,Production,Marketing,Sales
• B)Component 1 Plant,Component 2 Plant,Component 3 Plant,Final Assembly
• C)Store 1,Store 2,Store 3,Region A,Region B,Sales Division
• D)​Business Customers,Educational Customers,Household Customers

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Definitions:

Long Run

A period in which all factors of production and costs are variable, allowing firms to adjust all inputs and achieve optimal operation.

Monopolistically Competitive

A market structure where many companies sell products that are similar but not identical, allowing for significant competition.

Profit-Maximizing

A strategic goal of firms to achieve the highest possible profit given their costs of production and market demand.

Fixed Costs

Expenses that do not vary with the level of output, such as rent, salaries, and loan payments.