In which of the following circumstances will a divisional structure be more appropriate for an organization?
A)When the environment is stable
B)When resources can be well anticipated
C)When the organization competes on costs
D)When coordination requirements are consistent
E)When the organization competes on differentiation

Question

Quizplus · Accepted Answer

A divisional structure is most appropriate for an organization when it competes on differentiation, as it allows for greater flexibility and responsiveness to changing market conditions and customer needs. In a divisional structure, each division has its own resources, such as marketing, HR, and accounting, which allows for a more tailored approach to meeting customer demands. This structure is less appropriate for organizations that compete on costs, as it can lead to duplication of resources and inefficiencies.

In Which of the Following Circumstances Will a Divisional Structure