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What Is the Drawback of a Divisional Structure

Question 46

Multiple Choice

What is the drawback of a divisional structure?


A) It duplicates many functional skills.
B) The close monitoring of items such as expenses may no longer occur.
C) It is difficult to achieve scale economies in activities such as marketing and finance.
D) It can often hinder growth because the founder is limited in his/her ability to address numerous firm details.

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