Oliver Williamson Said Two Main Corporate Governance Advantages of the Multidivisional

Multiple Choice

Oliver Williamson said two main corporate governance advantages of the multidivisional structure ("M-form") for large,diversified companies were:

A) Allowing decision-making to be decentralized while centralizing high-frequency decision making
B) Allowing decision-making to be decentralizing while centralizing strategic decision making
C) Creating competitive internal capital market in which capital allocation is not dominated by political consideration and creating a corporate headquarters that can represent shareholder interests
D) Ensuring that the divisional managers were dependent on capital allocation at the corporate level