Limits of activity sharing include
A) substantial organizational issues that are often associated with a diversified firm's learning how to manage cross-business relationships and in which failure can lead to excess bureaucracy, inefficiency, and organizational gridlock.
B) a significant reduction in an organization's innovation and flexibility.
C) substantial organizational issues related to adequately compensating personnel across businesses and setting transfer prices.
D) a significant reduction in an organization's ability to meet the needs of any of its customers.

Question

Quizplus · Accepted Answer

Activity sharing can lead to substantial organizational issues, such as managing cross-business relationships, which can result in bureaucracy, inefficiency, and gridlock if not handled properly.

Limits of Activity Sharing Include