Tot Beverages creates a series of agreements with its suppliers, manufacturers, and distributors to produce and market Zing Cola. This is an example of a ________ organizational structure.
A) decentralized
B) vertically integrated
C) network
D) diversified product

Question

Quizplus · Accepted Answer

A network structure is a series of strategic alliances that an organization creates with suppliers, manufacturers, and/or distributors to produce and market a product. Network structures allow an organization to manage its global value chain in order to find new ways to reduce costs and increase the quality of products, without incurring the high costs of operating a complex organizational structure.

Tot Beverages Creates a Series of Agreements with Its Suppliers