A divisionalized structure works best where the organization
A)is expanding into several distinct product and/or client groups.
B)operates in one market with one product and one client group.
C)wants to assign the most power to executives responsible for technical expertise in the organization.
D)wants to maintain a strong centralized control over business activities.
E)has few employees.

Question

Quizplus · Accepted Answer

A divisionalized structure is best suited for organizations that are expanding into several distinct product and/or client groups. This structure allows for greater autonomy and flexibility for each division to operate independently and focus on their specific market needs. It also allows for better coordination and control of resources within each division.

Answer: B, D, E 
 A divisionalized structure would not be suitable for organizations that operate in one market with one product and one client group as it would create unnecessary divisions and complexity. It also would not be suitable for organizations that want to maintain strong centralized control over business activities or assign the most power to executives responsible for technical expertise in the organization. Additionally, a divisionalized structure may not be necessary for organizations with few employees as there may not be a need for distinct divisions.

A Divisionalized Structure Works Best Where the Organization