Target Exam

CUET

Subject

Business Studies

Chapter

Organising

Question:

Read the following passage and answer the question.

On Monday, an urgent meeting was called by Administrative head of ABC Ltd. The company has been witnessing various problems such as wastages of resources, ambiguity in transfer of information and inefficient Administration. Thus organisational restructuring was need of the hour. The HR manager stated that "the company needs to specify relationship between people, work and resources." Thus suggest an organisational structure based on the similar functions performed. Whereas marketing manager is of the opinion that company should be structured based on product line of the company. The meeting went for an hour and adjourned for next Monday and both the managers were called with valid justification for their claims.

Which of the following statement can strengthen the claim made by the Marketing Manager?

Options:

Our Organisation is large Organisation

We have issue of wastages of resources so this type of structure is good

We deal in large product line like cosmetics, garments, footwear etc.

It would not lead to increase in costs.

Correct Answer:

We deal in large product line like cosmetics, garments, footwear etc.

Explanation:

The correct answer is option (3)- We deal in large product line like cosmetics, garments, footwear etc.

The statement that can strengthen the claim made by the Marketing Manager, who suggests structuring the company based on the product line, is "We deal in a large product line like cosmetics, garments, footwear, etc."

The Marketing Manager advocates for an organizational structure based on product lines. If the company deals with a large product line (such as cosmetics, garments, and footwear), a divisional structure, which focuses on product categories or lines, would make sense. Each product line can be treated as a separate division, allowing for specialized management and focus on the distinct needs of each product category.

This statement directly supports the idea of structuring the company around different product lines.