Geographic departmentalization divides firms according to the areas of the country or the world that they serve.

Question

Quizplus · Accepted Answer

Geographic departmentalization is a common way for firms to structure their operations and divide responsibilities based on the different geographic regions they serve. This can be particularly useful for firms that have operations or customers spread out across large areas of the world, or that operate in multiple countries with different regulatory environments or cultural norms. By using geographic departmentalization, firms can ensure that they have teams of employees who are knowledgeable about specific regions and can work effectively with local customers, suppliers, and partners.

Geographic Departmentalization Divides Firms According to the Areas of the Country