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Question

Which of the following is not a merit of divisional structure?


A

It promotes flexibility and faster decision-making.

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B

It ensures that different functions get due attention

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C

It facilitates expansion and growth as new divisions.

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D

It promotes product specialisation.

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Solution

The correct option is B

It ensures that different functions get due attention


Answer (b) It ensures that different functions get due attention.

Explanation: The divisional structure is a sort of hierarchical construction that bunches each authoritative capacity into a division. Each division holds all the essential assets and capacities inside it to help a product line or geography (for instance, its own Information Technology department, Finance department, and Marketing department).


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