All of the following are advantages of a strategic business unit (SBU) type of organizational structure, except
A) divisions with similar products, markets, or technologies are formed into homogeneous groups that can achieve synergies.
B) divisional executives can respond quickly to market changes and opportunities.
C) planning and control by the corporate office is more manageable.
D) the corporate office is more removed from the individual divisions.

Question

Quizplus · Accepted Answer

The corporate office being more removed from the individual divisions is not an advantage of a strategic business unit (SBU) structure. Instead, SBUs are designed to allow for more focused management and quicker response to market changes, while still maintaining control and oversight from the corporate office.

All of the Following Are Advantages of a Strategic Business