A retail clothing chain buys a real estate business and an investment banking firm. Which of the following structures is most appropriate for this organization?

Question

Quizplus · Accepted Answer

A conglomerate structure is an organizational structure where a company owns and operates multiple unrelated businesses. In this case, the retail clothing chain purchasing a real estate business and an investment banking firm are unrelated businesses and would fit into a conglomerate structure. A matrix structure involves multiple reporting lines and can be complex, a product team structure is focused on specific projects or product lines, and a mechanistic structure is rigid with a top-down management approach, none of which would be appropriate for this organization.

A Retail Clothing Chain Buys a Real Estate Business and an Investment