A multidivisional structure can be costly because, when a company has seven divisions like GE that each require special skills and knowledge, it can reduce a company's profit margin. In GE's case, departments devoted to important aspects of public relations, business development, legal, global research, human resources, and finance are maintained centrally to provide services to all seven divisions. This creates ________ and saves money.
A) opportunities
B) accessibility
C) consistency
D) sustainability
E) efficiency

Question

Quizplus · Accepted Answer

Centralizing departments like public relations, legal, and finance allows GE to provide these services efficiently across all divisions, reducing redundancy and saving money.

A Multidivisional Structure Can Be Costly Because, When a Company