Corporate Structures

1) What is corporate structure?

a) The organization of different departments or business units within a company.

b) The financial plan of a company.

c) The marketing strategy of a company.

d) The legal framework of a company.

2. Which of the following is NOT mentioned as a department in a company?

a) Accounting and Finance

b) Human Resource

c) Customer Service

d) Research and Development

3. What is a key feature of a functional company structure?

a) Grouping people based on their geographical location.

b) Grouping people based on their specialty.

c) Grouping people based on their projects.

d) Eliminating management roles.

4. Why might a company use a matrix structure?

a) To eliminate bureaucracy.

b) To combine elements of divisional and functional models.

c) To focus only on geographical regions.

d) To avoid complex systems.

5. What is the main characteristic of a flat company structure?

a) It has a CEO at the top.

b) It eliminates middle management.

c) It focuses on geographical divisions.

d) It uses a complex chain of command.

6. What does the term 'chain of command' refer to?

a) The system by which instructions are passed within a company.

b) The hierarchy of financial decisions in a company.

c) The process of hiring new employees.

d) The structure of marketing campaigns.

7. What is a key difference between vertical and horizontal structures?

a) Vertical structures have a CEO, while horizontal structures do not.

b) Horizontal structures focus on finance, while vertical structures focus on marketing.

c) Vertical structures eliminate bureaucracy, while horizontal structures increase it.

d) Horizontal structures are only used in small businesses.

8. What is a characteristic of decentralized organizational structures?

a) Decisions are made by one person.

b) Employees have autonomy and can join the decision-making process.

c) They are only used in small businesses.

d) They eliminate the need for communication between departments.

9. What is a trend in corporate structures influenced by the digital era?

a) A move towards more centralized structures.

b) A move towards flatter, decentralized structures.

c) An increase in bureaucracy.

d) A focus on traditional top-down management.

10. Why might technological changes impact corporate structures?

a) They reduce the need for communication.

b) They improve efficiency and change job requirements.

c) They eliminate the need for departments.

d) They make centralized structures more common.