All of the Following Are Disadvantages of a Divisional Type

question 18

Multiple Choice

All of the following are disadvantages of a divisional type of organizational structure, except

• A) it can be very expensive compared to a functional organizational structure.
• B) there is a strong tendency for divisions to focus on short-term performance.
• C) there can be dysfunctional competition among divisions.
• D) there is separation of strategic and operating control.

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Definitions:

Nonprofit Credit Counselor

An advisor typically affiliated with a nonprofit organization who provides guidance on managing debt, budgeting, and improving personal financial health.

Chapter 13

A form of bankruptcy that allows individuals earning a regular income to develop a plan to repay all or part of their debts over time, usually three to five years.

Unsecured Debts

Obligations for which the borrower does not provide collateral, making them riskier for lenders.

Involuntary Bankruptcy

A legal procedure where creditors petition a court to declare a debtor bankrupt, without the debtor’s consent, in order to recoup some of the owed money.