Firms implementing a cost leadership strategy should use a ____ structure.
A) highly formalized,simple
B) specialized multidivisional
C) product line
D) highly centralized,functional

Question

Quizplus · Accepted Answer

A highly centralized, functional structure is most effective for firms implementing a cost leadership strategy because it allows for efficient control of costs through centralized decision-making and coordination across functions. This structure also promotes standardization and specialization, which can lead to greater efficiency and cost savings. The other options, such as a highly formalized, simple structure or a specialized multidivisional structure, may not be as effective for pursuing cost leadership. The product line structure may work for some firms, but it is not the best choice for cost leadership specifically.

Firms Implementing a Cost Leadership Strategy Should Use a ____