Asked by Yalç?n Golayo?lu on Sep 24, 2024
Verified
Conflicts can arise between divisions because
A) Coordination between divisions does not benefit all divisions equally
B) managers of profit centers care too little about the effects of their decisions on other divisions
C) managers are rewarded only for actions that increase their own divisional profit regardless of their effects on other divisions
D) all of the above
Profit Centers
Segments within a business that are directly responsible for generating profits through their activities and performance.
Divisional Profit
The earnings generated by a distinct operational unit or division within a larger organization, often assessed to evaluate the unit's financial performance.
Coordination
The organization and alignment of activities, tasks, and resources to achieve a specific goal or objective efficiently.
- Acknowledge the bases and resolution methods for friction between distinct divisions in a firm.
Verified Answer
Learning Objectives
- Acknowledge the bases and resolution methods for friction between distinct divisions in a firm.
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