Which of the Following Is a Difference Between the Product

question 51

Multiple Choice

Which of the following is a difference between the product division structure and the multidivisional structure?

• A) Horizontal differentiation is increased in the multidivisional structure, but not in the product division structure.
• B) Support functions are centralized at the top of the organization in a multidivisional structure, but decentralized to the divisions in a product division structure.
• C) Vertical differentiation is increased in the product division structure, but not in the multidivisional structure.
• D) Divisions are independent in a multidivisional structure, but not in a product division structure.

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Definitions:

Competition

The rivalry among businesses or entities to attract customers, increase sales, and achieve a dominant position in the market.

Knowledge Management

The process of capturing, distributing, and effectively using organizational knowledge to enhance performance, innovation, and competitive advantage.

Knowledge Dissemination

The process of spreading and sharing knowledge within an organization or to the broader public.

First-mover Strategy

A business strategy where a company is the first to enter a particular market or industry, gaining a competitive advantage.