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​Which of the Following Is True of a Decentralized Company

Question 105

Multiple Choice

​Which of the following is true of a decentralized company?


A) In a decentralized company, lower-level managers are responsible only for implementing decisions.
B) In a decentralized company, overall profit margins can mask inefficiencies within various subdivisions.
C) In a decentralized company, the owner makes all important operating and strategic decisions.
D) Managers in a decentralized company make and implement fewer decisions than do managers in a centralized firm.
E) Local managers in a decentralized company can make better decisions using local information.

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