Which of the following statements is not true concerning SBUs?
A) An SBU may have a well-defined set of customers.
B) An SBU may cover a specific geographic area.
C) Corporate-level managers develop the plans and strategies for each SBU.
D) An SBU is usually evaluated on the basis of its own income statement.

Question

Quizplus · Accepted Answer

Corporate-level managers oversee and guide the overall direction of the company, but the planning and strategy development for each Strategic Business Unit (SBU) are typically the responsibility of managers who are directly involved with that specific SBU. These managers are more familiar with the unique challenges and opportunities of their SBU, allowing for more tailored and effective strategic planning.

Which of the Following Statements Is Not True Concerning SBUs