Which of the Following Is More Characteristic of a Decentralized

question 175

Multiple Choice

Which of the following is more characteristic of a decentralized than a centralized business structure?

• A)The firm's environment is stable.
• B)There is little confidence in lower-level management to make decisions.
• C)The firm grows very quickly.
• D)The firm is relatively small.

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Definitions:

Wheel Communication Structure

is a system of information exchange characterized by a central figure through which all communications pass, resembling the spokes of a wheel.

Centralized Communication Network

A communication structure where all decision-making and messaging are concentrated at a central point within the organization.

Freewheeling

Engaging in an activity without restrictions or a fixed plan, allowing for creativity and spontaneity.

Restricted Communication

Limitations placed on the exchange of information, often to preserve confidentiality or for the purpose of control within organizations.