Which of the Following Is True of a Functional Structure

question 99

Multiple Choice

Which of the following is true of a functional structure?

• A) It is characterized by low-quality technical problem solving.
• B) It consists of task assignments consistent with expertise and training.
• C) It does not have the advantage of economies of scale.
• D) It is common in complex organizations with diverse operations.
• E) It is the ideal structure when there is a need to differentiate products or services in various locations.

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Definitions:

Opportunity Cost

The cost of forgoing the next best alternative when making a decision, essentially what is given up when choosing one option over another.

Specialization

The practice of focusing effort on a particular field or discipline, leading to increased efficiency and expertise in that area.

Cheese

A dairy product made from curdled or cultured milk, coming in various textures and flavors.

Opportunity Cost

The loss of value from not opting for the closely competing alternative when faced with a decision.