The U-form structure used to implement a product-differentiation strategy
A) rarely uses temporary cross-divisional and cross-functional teams to manage the development and implementation of new, innovative, and highly differentiated products.
B) has simple reporting relationships.
C) often uses temporary cross-divisional and cross-functional teams to manage the development and implementation of new, innovative, and highly differentiated products.
D) has a small corporate staff.

Question

Quizplus · Accepted Answer

The U-form structure, also known as the functional structure, is characterized by specialized departments or functions grouped according to their similarity in skills, expertise, and work activities. This structure is most suitable for implementing a product-differentiation strategy, which requires a high degree of specialization and expertise. To develop and implement highly differentiated products, temporary cross-divisional and cross-functional teams are often necessary to bring together the diverse skills and knowledge needed for innovation. Therefore, the U-form structure often uses temporary cross-divisional and cross-functional teams to manage product development and implementation. Simple reporting relationships and a small corporate staff may also be present in a U-form structure, but they are not exclusive to this structure or necessary for implementing a product-differentiation strategy.

The U-Form Structure Used to Implement a Product-Differentiation Strategy