Which of the Following Statements Is NOT a Benefit of Decentralization

question 25

Multiple Choice

Which of the following statements is NOT a benefit of decentralization?

• A)Lower-level managers are able to make faster and better decisions on local decisions than higher-level managers.
• B)By delegating decision-making authority to local managers,higher-level managers free up time to deal with larger issues and fundamental strategy.
• C)Local managers who are given more authority often have greater motivation and job satisfaction.
• D)Managers in decentralized units may spend time negotiating transfer prices for goods transferred between units.

Understand how legal frameworks and regulations can impact monopolies, including natural monopolies and exclusive contracts.

Explore the impact of technological advancements on monopolies and market competition.

Grasp the economic and competitive implications of paying for market advantages such as shelf space or standard-setting.

Assess the economic computations involved in monopoly operations including profit optimization.

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Definitions:

Gram

A metric measurement for weight, quantifying as one thousandth of a kilogram.

Ounce

A unit of weight in the avoirdupois system, equal to 1/16 of a pound or approximately 28.35 grams.

Coffee

A brewed drink prepared from roasted coffee beans, the seeds of berries from certain Coffea species.

Profit

The financial gain realized when the revenue from business activities exceeds the expenses, costs, and taxes associated with sustaining the activity.