AutoParts Inc

question 62

Multiple Choice

AutoParts Inc.is a firm involved in producing various electrical components used in the production of cars.The demand for its products is dependent on the demand for new cars.Which of the following best explains the demand for AutoParts' products?

• A)Latent demand
• B)Composite demand
• C)Negative demand
• D)Competitive demand
• E)Derived demand

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Definitions:

Divisionalized Form

This organizational structure divides an entity into semi-autonomous units or divisions, each responsible for their own operations, products, or services.

Machine Bureaucracy

A type of organizational structure characterized by a high degree of standardization and formalization, clear hierarchical levels of authority, and a focus on rules and regulations for management and control.

Span of Control

The number of subordinates directly supervised by a manager, indicating the breadth of management's control.

Hierarchy of Authority

A structured order of positions within an organization, where each level has specific powers and responsibilities over the levels below.