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Author Question: Which of the following is a drawback of decentralizing a multinational company? (Read 54 times)

clippers!

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on: Mar 6, 2021

Question 1

Which of the following is a benefit of decentralization?
◦ It creates greater responsiveness to local needs.
◦ It helps in rasing capital at a local level.
◦ It relieves top managers of accountability.
◦ It sharpens the focus of subunits and broadens the reach of top management

Question 2

Which of the following is a drawback of decentralizing a multinational company?
◦ It may lead to increased exchange rate risk.
◦ It may result in lack of control and results in increasing risk.
◦ It creates less responsiveness to the needs of a subunit's customers, suppliers, and employees.
◦ It may lead to an increase in bureaucracy.
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Marked as best answer by clippers! on Mar 6, 2021

jaymee143

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Reply #1 on: Mar 6, 2021
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clippers!

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Reply 2 on: Mar 6, 2021
:D TYSM

laurnthompson

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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