Which Type of Structure Enables a Corporation to Decentralize Decision-Making

question 17

Multiple Choice

Which type of structure enables a corporation to decentralize decision-making to the local subsidiaries?

• A) geographic-area structure
• B) product-group structure
• C) network structure
• D) matrix structure
• E) functional structure

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Definitions:

Beta

A measure of a stock's volatility in relation to the overall market, indicating its risk level in comparison to the market average.

Expected Return

The weighted average of all possible returns, with weights equal to the probabilities of each outcome.

Equally-Weighted

An investment strategy where each security is assigned the same weight or importance in a portfolio, promoting diversification.

Risk-Free Asset

An investment with a certain return, usually with low returns, considered to have negligible risk, such as government bonds.