Dominant-business firms that have decided to shift to a related-constrained strategy should change their organizational structure to:
A) a functional structure.
B) a differentiation structure.
C) a simple structure.
D) the cooperative form of the multidivisional structure.

Question

Quizplus · Accepted Answer

The cooperative form of the multidivisional structure allows related-constrained businesses to collaborate and share resources while maintaining their own identities. This structure is the best fit for dominant-business firms that are shifting to a related-constrained strategy, as it allows for efficient coordination and greater flexibility. A functional structure is too rigid and does not facilitate collaboration between divisions. A differentiation structure is more appropriate for firms pursuing a related-linked strategy, which involves diversifying into different but related businesses. A simple structure is too informal and lacks the necessary coordination mechanisms for related-constrained businesses.

Dominant-Business Firms That Have Decided to Shift to a Related-Constrained