Which of the Following Statements Regarding the Fit Between Structure

question 80

Multiple Choice

Which of the following statements regarding the fit between structure and relevant contextual dimensions is NOT true?

• A) The better the fit, the more likely that an organization will achieve its short-run goals.
• B) The better the fit, the more likely an organization will process information and design appropriate organizational roles for long-term prosperity.
• C) It is apparent that there must be some level of fit between the structure and the contextual dimensions of an organization.
• D) The better the fit, the more likely the structure will determine the strategy and goals of an organization.

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Definitions:

Long Run

The long run is a time period sufficiently long that all factors of production and costs can be fully adjusted, including plant sizes, machinery, and entry or exit from an industry.

Monopolistically Competitive

A market structure where many firms sell similar but not identical products, allowing them some power to influence prices.

Efficient Use of Resources

An economic condition where resources are allocated in the most effective manner possible to meet the needs and desires of consumers.

Long-Run Equilibrium

A state in which all firms in a market or industry are making normal profits and there is no incentive for firms to either enter or exit the market.