What is the drawback of a divisional structure?
A) It duplicates many functional skills.
B) The close monitoring of items such as expenses may no longer occur.
C) It is difficult to achieve scale economies in activities such as marketing and finance.
D) It can often hinder growth because the founder is limited in his/her ability to address numerous firm details.

Question

Quizplus · Accepted Answer

Divisional structures often lead to duplication of resources and efforts across divisions, as each division may have its own functional departments, leading to inefficiencies.

What Is the Drawback of a Divisional Structure