A Drawback of the Functional Structure Is

question 48

Multiple Choice

A drawback of the functional structure is:

• A)that each worker must report to more than one superior.
• B)the difficulty in communicating and coordinating across functions.
• C)too much decentralization of decision-making authority.
• D)its lack of flexibility in decision-making.
• E)the need to downsize before implementing this structure.

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Definitions:

Demand for Good

The quantity of a particular good or service that consumers are willing and able to purchase at various prices during a specified time period.

Square Feet

A unit of area measurement equivalent to the area of a square with sides of one foot in length.

Quasilinear Preferences

Preferences where utility is linear in one argument, usually money, allowing for easy analysis of changes in wealth while other goods are evaluated non-linearly.

Homothetic

Pertaining to a class of production functions or utility functions where equal proportionate changes in inputs result in equal proportionate changes in output.