David Cultivates and Sells Sugarcane to a Sugar Manufacturing Company

question 68

Multiple Choice

David cultivates and sells sugarcane to a sugar manufacturing company.John is a retailer for pet food.Which of the following is a difference between David's and John's businesses?

• A)Unlike John,David has very few competitors.
• B)Unlike John,David is eligible for tax exemptions.
• C)Unlike John,David has no control over the pricing of his product.
• D)Unlike John,David can patent his product.

---

Definitions:

Formal Authority

Refers to the power granted to an individual or a position through organizational structures and official job descriptions.

Mechanistic Designs

Organizational structures characterized by clear hierarchies, rigid departments, and strict adherence to rules, enhancing efficiency in stable environments.

Loose Structures

Organizational frameworks characterized by flexibility, informal communication, and adaptable roles, often in contrast to rigid, hierarchical structures.

Horizontal Form

An organizational structure where departments or units operate with a high degree of autonomy and communication is lateral, emphasizing collaboration and teamwork.