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Geographic design has the advantage of being able to minimize transport costs

67. Geographic design organizes activities around a region.

ANS: T Strategy

68. In the geographic design, positions and departments may be created on the basis of either specialized activities, such as marketing and finance, or on the basis of the process used, such as receiving, assembly, and inspection.

ANS: F

In the functional design, positions and departments may be created on the basis of either specialized activities, such as marketing and finance, or on the basis of the process used, such as receiving, assembly, and inspection.

Strategy

69. Functional design fosters a point of view that focuses on a broad set of tasks.

ANS: F

Functional design fosters a limited point of view that focuses on a narrow set of tasks.

Strategy
70. As the organization decreases the numbers of geographic areas served and the range of goods or services provided, coordination across functional departments often becomes difficult.

ANS: F

As the organization increases the numbers of geographic areas served and the range of goods or services provided, coordination across functional departments often becomes difficult.
 Strategy
71. When the organization has a narrow product line and does not have to respond to the pressures of serving different geographic areas or types of customers the functional design may be effective.

ANS: T  Strategy


72. Geographic design has the advantage of being able to minimize transport costs by specifying a local region to provide services to.

ANS: T  Strategy
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