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32. When an organization with a simple structure increases its sales
revenue and volume
of outputs, it is most likely to develop a
A) divisional structure.
B) functional structure.
C) product-market structure.
D) geographic structure. - 🧠 ANSWER ✔✔Answer: B
33. When an organization with a functional structure diversifies into related
product-
markets, it generally
A) maintains its functional structure.
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,B) develops a divisional structure.
C) develops a matrix structure.
D) develops a worldwide product-division structure. - 🧠 ANSWER
✔✔Answer: B
34. A strategy of related diversification requires most firms to organize
around
geographical areas or product lines. This type of organizational growth
leads to a(n)
A) divisional structure.
B) functional structure.
C) matrix structure.
D) international structure. - 🧠 ANSWER ✔✔Answer: A
35. Generally speaking, discussions of the relationship between strategy
and structure
strongly imply that
A) strategy follows structure.
B) structure follows strategy.
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, C) strategy can effectively be formulated without considering structural
elements.
D) structure typically has a very small influence on a firm's strategy. - 🧠
ANSWER ✔✔Answer: B
36. All of the following statements about simple organizational structures
are true except
A) small firms with a narrow product-market scope will adopt such a
structure.
B) decision making authority is highly centralized.
C) there is little specialization of tasks.
D) creativity and individualism are rare. - 🧠 ANSWER ✔✔Answer: D
37. A simple structure is characterized by
A) high specialization and low centralization.
B) low specialization and high centralization.
C) low formality and low creativity.
D) high formality and low centralization. - 🧠 ANSWER ✔✔Answer: B
38. Functional structures are usually found in organizations where there is
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