Which of the Following Is an Advantage of Using a Functional

question 32

Multiple Choice

Which of the following is an advantage of using a functional structure when pursuing a cost-leadership strategy?

• A) It allows a cost-leader to upgrade core competencies in manufacturing and logistics.
• B) It enables a cost-leader to build products that are different from its competitors' offerings.
• C) It enables a cost-leader to increase costs above that of its competitors.
• D) It allows a cost-leader to operate in a decentralized organizational structure.

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Definitions:

Articles of Partnership

Articles of Partnership is a document that outlines the terms, conditions, and responsibilities of each partner in a partnership.

Annual Salary

The total amount of money an employee earns in a year before deductions for taxes and other items.

Capital Balance

The amount of money that an individual or entity has contributed towards the capital of a company, often reflected in the equity section of a balance sheet.

Net Loss

Occurs when a company's total expenses exceed its total revenues during a specific period, resulting in a negative profit.