Question : A business that produces a well-known toy brand has a solid market reputation. Production, Marketing, Finance, Human Resources, and Research and Development are all handled by various divisions. Recently, it has considered expanding into the production of a new line of electronic toys for which a new market is growing in order to capitalise on new commercial opportunities while also utilising its brand name. The organisational structure that the business should use is:
Option 1: Functional structure
Option 2: Formal Organisation Structure
Option 3: Divisional structure
Option 4: Informal Organisation Structure
Correct Answer: Divisional structure
Solution : In a divisional structure, people are grouped together based on the product or service they provide, not the work they do. For example, a large corporation such as General Electric has divisions for electronics, transportation, and aviation, each with its own team of accountants, marketers, etc. Hence, the correct option is 3.
Question : A business that produces a well-known toy brand has a solid market reputation. Production, Marketing, Finance, Human Resources, and Research and Development are all handled by various divisions. Recently, it has considered expanding into the production of a new line of electronic toys for which a new market is growing in order to capitalise on new commercial opportunities while also utilising its brand name. The organisational structure that the business should use.
Option 2: Divisional structure
Option 3: Formal Organisation Structure
Question : A corporation with a Rs.20,000 crore authorised share capital has been registered under the Companies Act. Its manufacturing facility is located in a less developed Bihar area, although its registered office is in Delhi. The company's marketing division is located in Bhopal. The business produces fast-moving consumer goods (FMCG). Which organisational structure would best meet the needs of the business?
Option 3: Formal organisational structure
Option 4: Informal organisational structure
Question : A chain of coffee shops called Coffee Corporation operates in 3 Indian states. It has expanded thanks to its efficient organisational structure, despite pressure from rivals in the domestic market. The business is divided into four departments: Sales, Brand Management, Supply Chain Management, and Purchase and Production. Because staff become experts in their respective fields thanks to this arrangement, operations have become more efficient. Due to the concentration being on a certain set of abilities, they could receive specialised training. Identify the Coffee Corporation's corporate structure.
Question : A chain of coffee shops called Roasted Coffee Corporation operates in 7 Indian states. It has expanded thanks to its efficient organisational structure, despite pressure from rivals in the domestic market. The business is divided into four departments: Sales, Brand Management, Supply Chain Management, and Purchase and Production. Because staff become experts in their respective fields thanks to this arrangement, operations have become more efficient. Due to the concentration being on a certain set of abilities, they could receive specialised training. Identify the Roasted Coffee Corporation's corporate structure.
Question : An organisation that makes office furniture is called Vasu Industries. The business decided to diversify its business ventures in order to boost market share and its potential for growth. Due to the significance of the project, numerous solutions were developed and thoroughly discussed among the organization's members. Shivam, the company's managing director, opted to add "Home Interiors and Furnishings" as a new line of business activity after weighing the numerous options. What framework should the varied organisation adopt to help it manage the developing complexity?
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