In the Context of the Vertical Structure of a Firm

question 56

Multiple Choice

In the context of the vertical structure of a firm, authority refers to:

• A) the legitimate right to make decisions and to tell other people what to do.
• B) the procedures that link the various parts of the organization.
• C) the assignment of new or additional responsibilities to a subordinate.
• D) the expectation that staff will take corrective action when necessary.
• E) the reporting structure and division of labor in an organization.

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Definitions:

Think Strategically

The ability to envision, plan, and implement actions considering the long-term objectives and outcomes, essential for successful leadership and management.

Act Democratically

The process of making decisions or taking actions based on the principles of democracy, where all members have an equal say.

Personal Responsibility

The concept of individuals being accountable for their actions and decisions, recognizing the consequences they may bring.

Short-Term Interests

Interests or goals that focus on immediate or near-future benefits rather than long-term outcomes.