The More Complex and Uncertain a Company's Environment, the More

question 46

Multiple Choice

The more complex and uncertain a company's environment, the more likely it is that the company will

• A) decentralize the organization.
• B) have a split between decentralized and centralized decision making.
• C) centralize the organization.
• D) increase the span of control, thus increasing the number of employees on board.
• E) decrease the span of control, thus decreasing the workforce.

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Definitions:

Promissory Estoppel

A legal principle that prevents a party from withdrawing a promise made to another when the latter has relied on that promise to their detriment.

Detrimental Reliance

A legal principle where a party suffers a loss due to their reliance on a promise or agreement that is not fulfilled by the other party.

Unenforceable Contract

A contract that is not legally binding and cannot be enforced by law due to certain deficiencies or lack of key requirements.

Adequacy of Consideration

A legal principle that examines whether the value exchanged in a contract is fair and reasonable to all parties involved.