Why is the optimal organizational structure a multidivisional structure?
A) Its focus is on driving down costs.
B) Its focus is on producing differentiated products.
C) Its focus is on retaining activities within a single geographic area.
D) Its focus is on establishing a flat hierarchy operated in a decentralized fashion.

Question

Quizplus · Accepted Answer

The optimal organizational structure match is a multidivisional structure. Rather than focusing on geographic differences as in the multidomestic strategy, the focus is on driving down costs due to consolidation of activities across different geographic areas.

Why Is the Optimal Organizational Structure a Multidivisional Structure