The Greater the Environmental Uncertainty, the More an Organization Needs

question 31

Multiple Choice

The greater the environmental uncertainty, the more an organization needs to become ________.

• A) organic
• B) mechanistic
• C) specialized
• D) departmentalized

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Definitions:

Fair Value

The estimated market price of an asset or liability, reflecting the amount for which it could be exchanged in an arm's length transaction.

Goodwill

An intangible asset that arises when a business is acquired for more than the fair value of its net identifiable assets, representing the premium paid for the company's reputation, customer base, or brand identity.

Separate Incorporation

A legal entity distinct from its shareholders or owners, recognized as such by law and capable of rights, privileges, and liabilities.