Asked by Penny Huang on May 02, 2024

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In the context of organizational structures, which of the following is a difference between a functional structure and a divisional structure?

A) Unlike a functional structure, a divisional structure organizes a company's units by their activities.
B) Unlike a functional structure, a divisional structure organizes a company's units by the products they make.
C) Unlike a divisional structure, a functional structure organizes a company's units by the geographic location in which they operate.
D) Unlike a divisional structure, a functional structure organizes a company's units by the customer segments they serve.

Divisional Structure

An organizational layout where operations are grouped based on divisions, which could be product lines, geographical areas, or customer markets.

Functional Structure

An organizational structure where the company is divided into departments based on their functions, such as marketing, operations, and finance.

Geographic Location

The specific physical position of something on the Earth's surface, determined by its latitude, longitude, and other factors.

  • Learn about the singular qualities and divergences existing between different organizational designs, like functional, divisional, matrix, and network.
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Verified Answer

AA
Anushka AllenMay 09, 2024
Final Answer :
B
Explanation :
A functional structure organizes a company's units based on their functions or roles within the organization (e.g., marketing, finance, HR), while a divisional structure organizes units based on products, services, or markets they focus on.