An organization that is organized according to strategic business units (SBUs) and also along organizational structures is most likely using a ________ structure.
A) functional
B) multidivisional
C) matrix
D) simple

Question

Quizplus · Accepted Answer

To reap the benefits of both the M-form and the functional structure, many firms employ a mix of these two organizational forms, called a matrix structure. The idea behind the matrix structure is to combine the benefits of the M-form (domain expertise, economies of scale, and the efficient processing of information), with those of the functional structure (responsiveness and decentralized focus).

An Organization That Is Organized According to Strategic Business Units