Which of the following is a disadvantage of a functional strategy?
A) It frequently lacks the tools required to pursue a cost-leadership strategy.
B) It does not facilitate rich communication between members of the same department.
C) It cannot effectively address a higher level of diversification.
D) It does not allow organizations to be flexible or innovative.

Question

Quizplus · Accepted Answer

One of the drawbacks of the functional structure is that it cannot effectively address a higher level of diversification, which often stems from further growth.

Which of the Following Is a Disadvantage of a Functional