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BS Business Studies

Business StudiesNEB 2082

Draw a picture of divisional organizational structure.

1

Answer

· Based on the official syllabus and past papers
Updated

Divisional Organizational Structure

A divisional structure organizes an enterprise into semi-autonomous units based on products, regions, or customers. Each division operates independently with its own functional departments (Marketing, Finance, Production) and is headed by a Divisional Manager who reports to the top management. This structure allows for specialized focus and faster decision-making within each unit.

1920sIntroduction ofdivisional structure b1960sAdoption bymultinational corporat2000sDigital divisionsemerge (e.g., Amazon’s
Historical evolution of divisional structures in business
017.53552.570Product Division70Regional Division65Customer Division60
Typical autonomy percentage per division (hypothetical data for comparison)
MarketingFinanceProductionDivision A (Product Division)MarketingFinanceProductionDivision B (Regional Division)MarketingFinanceProductionDivision C (Customer Division)CEOBoard of Directors
Divisional structure with product, regional, and customer divisions (real-world example: Unilever or Coca-Cola)

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