Which of the following is not a core characteristic of the coordinated federation structure?
A) Most assets and resources are decentralized but well controlled by the headquarters.
B) Subsidiaries are regarded as key sources of knowledge and expertise.
C) Subsidiary control exercised by the headquarters is usually quite formal and rigorous.
D) Corporate managers tend to regard offshore subsidiaries as extensions of domestic operations.

Question

Quizplus · Accepted Answer

Companies that adopt the coordinated federation model permit foreign subsidiaries to adapt products or strategies to reflect market differences,but their dependence on the parent company for new products,processes and ideas results in a significant degree of coordination and control being exercised by headquarters.In fact,these companies often view foreign operations as appendages whose principal purpose is to leverage the capabilities and resources developed in the home market.

Which of the Following Is Not a Core Characteristic of the Coordinated