A hybrid organization may be used when
A) a firm uses SBUs.
B) management attempts to mesh product and regional expertise.
C) management encounters problems with a matrix organization.
D) an IC is selling to a sizable, homogeneous class of customers.
E) management believes worldwide functional expertise is more significant to the firm than is product or area knowledge.

Question

Quizplus · Accepted Answer

In a hybrid organization, the top level is a mixture of the organizational forms described, and the lower levels may or may not be. Figure 10.7 illustrates a simple hybrid form. Such combinations are often the result of a regionally organized company having introduced a new and different product line that management believes can be handled best by a worldwide product division. A firm that acquires a company with distinct products and a functioning marketing network may be integrated into the organization as a product division even though the rest of the firm is organized on a regional basis. Later, after corporate management becomes familiar with the operation, this acquired unit may be regionalized.

A Hybrid Organization May Be Used When