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When Managers Organize Divisions Based Solely on the Type of Customer

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When managers organize divisions based solely on the type of customer they focus on, they adopt a


Definitions:

Effective Average

A measure that represents an average value weighted according to the relevance or importance of different components.

Lump-sum Amount

A fixed total amount that does not change with the level of output, activity, or number of beneficiaries.

Tax System

A framework of policies governing how taxes are collected from individuals and businesses by a governing authority.

Disproportionate

Significantly uneven or out of balance in comparison to something else.

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