In the context of interorganizational processes, which of the following is true of virtual organizations?
A) Their operating costs are significantly higher than that of traditional organizations.
B) The outside organizations a company does its businesses with are tightly linked to one central company.
C) They are slow and inflexible when compared to modular organizations.
D) They use a broker to create and assemble the knowledge, skills, and resources from different companies for customers.

Question

Quizplus · Accepted Answer

Virtual organizations use a broker to create and assemble knowledge, skills, and resources from different companies for customers. This allows them to be more flexible and adaptable than traditional organizations, as they are not tied to a single set of resources or capabilities. While their operating costs may be higher in some cases, this is not a defining characteristic of virtual organizations. Additionally, virtual organizations are not necessarily tightly linked to a single central company (as in the case of modular organizations).

In the Context of Interorganizational Processes, Which of the Following