Question detail
GreenGlow serves local families while changing supplier; the case evidence includes gross profit margin of ?7,086, sales of 716 units, and a 7% change in costs or demand. Which option best applies Explain how tall and flat structures affect management?
Try the question, check the answer, then read the explanation to understand the curriculum point.
At a glance
MCQ
Type
practice
Style
Topic
Organisational structures
Question
- A. Use management, affect, tall, flat to judge net profit margin, lenders impact, and the business objective in Structures and communication.
- B. Give only a definition of Organisational structures without using the case evidence.
- C. Treat margin and markup as identical and ignore the effect on lenders.
- D. Choose the largest sales figure without checking costs, finance, or context.
Answer
The correct option is: Use management, affect, tall, flat to judge net profit margin, lenders impact, and the business objective in Structures and communication.
Explanation
The option is correct because Use management, affect, tall, flat to judge net profit margin, lenders impact, and the business objective in Structures and communication. The case evidence gives ?8,586, 716 units, and 7%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse margin and markup, miss the lenders, or ignore the business objective.
Common mistake
Structures and communication common mistake 1
Giving a vague answer instead of directly addressing: Explain how tall and flat structures affect management..
Answer by clearly explaining how to explain how tall and flat structures affect management..
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