You Are Interested in Explaining the Different Types of Organizational

question 37

Multiple Choice

You are interested in explaining the different types of organizational designs to students of basic management. These students need to know the advantages and disadvantages of each structure as well as the structure's characteristics.
-Which of the following statements is true regarding a matrix structure?

• A) It breaks the unity of command concept.
• B) It cannot achieve economies of scale.
• C) It reduces ambiguity about who reports to whom.
• D) It prevents power struggles.
• E) It avoids duplication of activities.

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Definitions:

Vertical Marketing Systems

A coordinated approach to marketing and distribution in which members at different levels of the supply chain work closely together.

Channel Economies

Cost savings realized through efficient distribution channel management, leading to reduced expenses and improved profitability.

Retailer-sponsored Cooperatives

are partnerships formed by retailers to achieve economies of scale through bulk purchasing, marketing, and distribution.

Dual Distribution

A marketing strategy where a company sells products or services through two or more different distribution channels, often simultaneously.