A Divisionalized Structure Has All of the Following Problems EXCEPT

question 39

Multiple Choice

A divisionalized structure has all of the following problems EXCEPT:

• A)it increases the amount of duplication.
• B)it reduces cooperation across groups.
• C)it limits the ability to expand operations.
• D)it underutilizes resources.
• E)it creates ''silos of knowledge'' whereby information is not shared with other units.

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Definitions:

Pounds

A unit of weight commonly used in the British imperial and United States customary systems, equal to 16 ounces.

Optimal Consumption

The combination of goods and services that maximizes an individual's utility given their budget constraints.

Indifference Curve

A graph showing different bundles of goods between which a consumer is indifferent, that is, the consumer has no preference for one combination over another.

Price Decrease

A reduction in the price of a good or service, which can lead to an increase in quantity demanded by consumers according to the law of demand.