BUS 100 Intro to 08 BUS 100 Intro
Chapter to guide
8 study Business
with exam questions and answers
Study this set o nline at: https://www.cram.co m/flashcards/ch-08-bus-100-intro -to -
business-3608323
T he si tuati on i n whi ch compani es can reduce thei r producti on costs i f they can
E conomi es of scal e purchase raw materi al s i n bul k; the average cost of goods goes down as producti on
i ncreases.
A system i n whi ch one person i s at the top of the organi zati on and there i s a ranked
H i erarchy or sequenti al orderi ng f rom the top down of managers who are responsi bl e to that
person
Chai n of Command T he l i ne of authori ty that moves f rom the top of a hi erarchy to the l owest l evel
An organi zati on wi th many l ayers of managers who set rul es and regul ati ons and
Bureaucracy
oversee al l deci si ons.
1
, CHBusiness
BUS 100 Intro to 08 BUS 100 Intro
Chapter to guide
8 study Business
with exam questions and answers
Study this set o nline at: https://www.cram.co m/flashcards/ch-08-bus-100-intro -to -
business-3608323
An organi zati on structure i n whi ch deci si on-maki ng authori ty i s mai ntai ned at the
Central i zed Authori ty
top l evel of management.
An organi zati on structure i n whi ch deci si on-maki ng authori ty i s del egated to
D ecentral i zed authori ty l ower-l evel managers more f ami l i ar wi th the l ocal condi ti ons than headquarters
management coul d be.
Span of Control T he opti mal number of subordi nates a managers supervi ses or shoul d supervi se
An organi zati onal structure i n whi ch the pyrami dal organi zati on chart woul d be
T al l Organi zati on Structure
qui te tal l because of the vari ous l evel s of management.
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