Which of the following, if True, would most strongly suggest that TLS should change its organizational structure to a product-based approach?
A) The largest growth area for TLS is governmental contracts, which have buying procedures that are very different from those of other customers.
B) TLS currently maintains separate accounting departments in each of its regions.
C) To be effective, TLS managers need to be experts in at least one of the products that TLS sells.
D) TLS hopes to build sustained relationships with customers, selling the same person academic tutoring, standardized test preparation, and admissions consulting.
E) Communication between different marketing departments in different regions has been substandard.

Question

Quizplus · Accepted Answer

C) A product-based approach helps to build the subject-matter expertise of the managers. So if the managers need to know the products, as Choice C indicates, then the product model looks a little better. Choice A favors an approach based on customer type. Choices B and E would be no better in a product-based approach. Consolidation of those departments might help, but the product-based approach would not require consolidation. Choice D would suggest that a product-specific approach wouldn't be the way to go, because it might interfere with a continuous relationship across products.

Which of the Following, If True, Would Most Strongly Suggest