McDonald's Early Efforts at Restructuring Were a Disaster in Part

question 94

Multiple Choice

McDonald's early efforts at restructuring were a disaster in part because ________.

• A) the pricing strategy was poorly planned
• B) certain departments were not structured so as to adapt to the major changes taking place
• C) the environment was stable, requiring a more mechanistic structure
• D) the changes came way too late

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Definitions:

Net Sales

The amount of sales revenue left after returns, allowances for damaged or missing goods, and discounts are deducted.

Total Asset Turnover

A financial ratio that measures a company's ability to generate sales from its assets by comparing sales with average total assets.

Average Total Assets

A financial metric that represents the average value of all a company's assets over a specific period, often used to assess operational efficiency.

Associated Costs

Expenses directly linked to a specific project, department, or product, which can include materials, labor, and overhead.