Question 1

In a barrier-free organization,differences in skills,authority,and talent disappear.

Accepted Answer

A) True 
 B)False

Question 2

What advantages does outsourcing not provide an organization?

Accepted Answer

A)   accessing best in class goods and services
B)   enabling rapid expansion with relatively low capital investment
C)   focusing scarce resources on core competencies
D)   improved buyer positioningE) A) and C)
F) A) and B)

Question 3

To enhance integration and control of related product market activities,the functional structure minimizes centralization.

Accepted Answer

A) True 
 B)False

Question 4

Nike is a company that makes use of the concept of product expatriates.Product expatriates are _____________.

Accepted Answer

A)   managers from the home country sent abroad to oversee the marketing of company products
B)   managers from suppliers who come to work at the company headquarters
C)   managers of the company sent abroad to work at the plants of its suppliers
D)   local nationals hired by the company in the countries from which it sources productsE) A) and B)
F) None of the above

Question 5

Ambidextrous organizational designs are useful for firms that wish to create modest,incremental innovations at the same time as dramatic,breakthrough innovation.This is done by maintaining adaptability and alignment of values and coordination across organizational activities.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following is considered to be an advantage of a matrix structure?

Accepted Answer

A)   the layering of matrices
B)   increased clarity in reporting relationships
C)   increased responsiveness to the market
D)   fewer power struggles and reduced conflictE) A) and B)
F) A) and C)

Question 7

The structure of a firm typically has almost no effect on its strategy.

Accepted Answer

A) True 
 B)False

Question 8

One major advantage of the holding company form of organization structure is that it minimizes the duplication of functional activities between product lines.

Accepted Answer

A) True 
 B)False

Question 9

What are ambidextrous organizations? When should they be used and how can they be made effective?

Accepted Answer

Ambidextrous organizations are companies...

Question 10

How do organizational structures change as organizations grow and mature? What are the dominant patterns of growth?

Accepted Answer

Organizational structures change as orga...

Question 11

Modular companies can achieve rapid growth because they do not require large investments in fixed assets.

Accepted Answer

A) True 
 B)False

Question 12

A major disadvantage of a divisional structure is that when divisions are separated to manage individual product markets,there is a separation of strategic and operational control.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following is not a primary factor that a large firm with international operations should consider when choosing the appropriate structure for its organization?

Accepted Answer

A)   the extent of international expansion
B)   the type of strategy (global, multidomestic, or transnational) 
C)   the degree of product diversity
D)   the degree of market diversityE) A) and D)
F) All of the above

Question 14

Successful boundaryless organizations rely heavily on the relational aspects of organizations.Discuss the benefits and costs of what must be considered,when choosing to develop such relationships with internal and external stakeholders.

Accepted Answer

Successful boundaryless organizations re...

Question 15

A virtual organization may be most appropriate for firms _____________.

Accepted Answer

A)   whose strategies require merging technologies
B)   whose product life cycles are just beginning
C)   who have no need to get to market quickly with new offers
D)   who have no need to meet competitive pressuresE) B) and D)
F) None of the above

Question 16

A global startup typically benefits from lower communication,coordination,and transportation costs.

Accepted Answer

A) True 
 B)False

Question 17

One of the risks of outsourcing is a loss of cross-functional skills.

Accepted Answer

A) True 
 B)False

Question 18

Important advantages of a holding company structure include _____________.

Accepted Answer

A)   savings in personnel and overhead expenses associated with a small corporate office
B)   a high level of awareness at the corporate office of issues facing individual divisions
C)   a high level of control of division executives by executives at the corporate level
D)   gaining synergistic benefits across businessesE) B) and D)
F) B) and C)

Question 19

Briefly describe the strategic business unit (SBU)and holding company organizational structures.Under what circumstances do organizations choose these forms of organizing?

Accepted Answer

A Strategic Business Unit (SBU) is a sem...

Question 20

Which of the following is an advantage of a divisional type of organizational structure?

Accepted Answer

A)   efficient use of managerial and technical talent
B)   an enhanced ability to respond quickly to changes in the external environment
C)   high degree of emphasis on long-term performance
D)   uniformity in image and quality across divisionsE) A) and B)
F) B) and D)

Exam 10: Creating Effective Organizational Designs

Briefly describe the strategic business unit (SBU)and holding company organizational structures.Under what circumstances do organizations choose these forms of organizing?

Correct AnswerAnswered by ExamLex AIA Strategic Business Unit (SBU) is a sem...View AnswerShow Answer

Ambidextrous organizational designs are useful for firms that wish to create modest,incremental innovations at the same time as dramatic,breakthrough innovation.This is done by maintaining adaptability and alignment of values and coordination across organizational activities.

Correct AnswerverifiedShow Answer

How do organizational structures change as organizations grow and mature? What are the dominant patterns of growth?

Correct AnswerAnswered by ExamLex AIOrganizational structures change as orga...View AnswerShow Answer

One of the risks of outsourcing is a loss of cross-functional skills.

Correct AnswerverifiedShow Answer

Modular companies can achieve rapid growth because they do not require large investments in fixed assets.

Correct AnswerverifiedShow Answer

A virtual organization may be most appropriate for firms _____________.

Correct AnswerverifiedShow Answer

Which of the following is not a primary factor that a large firm with international operations should consider when choosing the appropriate structure for its organization?

Correct AnswerverifiedShow Answer

What are ambidextrous organizations? When should they be used and how can they be made effective?

Correct AnswerAnswered by ExamLex AIAmbidextrous organizations are companies...View AnswerShow Answer

Which of the following is an advantage of a divisional type of organizational structure?

Correct AnswerverifiedShow Answer

To enhance integration and control of related product market activities,the functional structure minimizes centralization.

Correct AnswerverifiedShow Answer

The structure of a firm typically has almost no effect on its strategy.

Correct AnswerverifiedShow Answer

Successful boundaryless organizations rely heavily on the relational aspects of organizations.Discuss the benefits and costs of what must be considered,when choosing to develop such relationships with internal and external stakeholders.

Correct AnswerAnswered by ExamLex AISuccessful boundaryless organizations re...View AnswerShow Answer

One major advantage of the holding company form of organization structure is that it minimizes the duplication of functional activities between product lines.

Correct AnswerverifiedShow Answer

What advantages does outsourcing not provide an organization?

Correct AnswerverifiedShow Answer

A global startup typically benefits from lower communication,coordination,and transportation costs.

Correct AnswerverifiedShow Answer

Important advantages of a holding company structure include _____________.

Correct AnswerverifiedShow Answer

Nike is a company that makes use of the concept of product expatriates.Product expatriates are _____________.

Correct AnswerverifiedShow Answer

In a barrier-free organization,differences in skills,authority,and talent disappear.

Correct AnswerverifiedShow Answer

Which of the following is considered to be an advantage of a matrix structure?

Correct AnswerverifiedShow Answer

A major disadvantage of a divisional structure is that when divisions are separated to manage individual product markets,there is a separation of strategic and operational control.

Correct AnswerverifiedShow Answer

Correct Answer
Answered by ExamLex AI
A Strategic Business Unit (SBU) is a sem...
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Organizational structures change as orga...
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Ambidextrous organizations are companies...
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Correct Answer
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Answered by ExamLex AI
Successful boundaryless organizations re...
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Correct Answer
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Correct Answer
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