When an organization drops its structure based on countries and reorganizes according to industries, it is most likely pursuing a multinational strategy known as ________.
A) ethnocentrism
B) polycentrism
C) borderless organization
D) multidomestic organization
E) born global

Question

Quizplus · Accepted Answer

A borderless organization is one that eliminates the traditional hierarchical structure based on geography and instead organizes around functional areas or industries. This approach allows for increased global integration and flexibility, allowing companies to better compete in the global marketplace. This is different from a multidomestic organization, which maintains separate structures for each national market, and from ethnocentrism and polycentrism, which both emphasize a centralized, home country-focused approach. Born global refers to companies that are global from their inception, rather than expanding into international markets over time.

When an Organization Drops Its Structure Based on Countries and Reorganizes