Functional structures work best for firms for all of the following strategies EXCEPT:
A) cost leadership strategy.
B) differentiation strategy.
C) related constrained diversification strategy.
D) single or dominant business corporate strategy.

Question

Quizplus · Accepted Answer

Related constrained diversification strategy requires a multidivisional structure, which is not a form of functional structure. Functional structures focus on specialized functions and are best suited for firms with a limited set of products or services, such as those pursuing cost leadership or differentiation strategies, or with a single or dominant business corporate strategy.

Functional Structures Work Best for Firms for All of the Following