McDonald's operates through a franchising system wherein the head office uses strategic and financial controls to ensure that the franchisees are creating the greatest possible value. This is an example of a(an):
A) worldwide product divisional structure.
B) strategic network.
C) SBU multidivisional structure.
D) simple structure.

Question

Quizplus · Accepted Answer

A strategic network refers to a system where a central organization (like McDonald's head office) uses strategic and financial controls to manage and ensure value creation across its network of franchisees.

McDonald's Operates Through a Franchising System Wherein the Head Office