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Suppose a Firm Has Decided to Break Its Departments Down

Question 122

Multiple Choice

Suppose a firm has decided to break its departments down into smaller units. While this likely will help with __________ issues, it raises the possibility that poor decisions will result due to __________.


A) risk aversion; suboptimization
B) economies of scale; risk aversion
C) span of control; suboptimization
D) span of control; risk aversion
E) economies of scale; limited span of control

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