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An electronic company manufacturing TV and Refrigerators wants to bring two new products Washing Machines and ACs in the market. For each product separate division is to be set up. The in-charge of washing machine division and AC division will be a female and a disabled person respectively. What type of Organisation structure is suitable for this company?
  • a)
    Functional structure
  • b)
    Divisional structure
  • c)
    Formal organisation structure
  • d)
    Informal organisation structure
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
An electronic company manufacturing TV and Refrigerators wants to brin...
Divisional Structure
Divisional structure is the most suitable type of organization structure for the electronic company manufacturing TV and Refrigerators, as it allows for separate divisions to be set up for the new products - Washing Machines and ACs. This structure ensures that each division operates independently, focusing on the specific needs and requirements of the product line.

Advantages of Divisional Structure:
- Specialization: Each division can specialize in a particular product line, allowing for a greater focus on the unique features of washing machines and ACs.
- Flexibility: The divisions can respond quickly to changes in the market demand and adapt their strategies accordingly.
- Accountability: Having separate divisions ensures clear accountability and responsibility for the performance of each product line.
- Diversity: By having a female in-charge of the washing machine division and a disabled person in-charge of the AC division, the company promotes diversity and inclusivity within the organization.
- Efficiency: Each division can operate efficiently, with its own set of resources, budget, and staff dedicated to the success of the product line.

Conclusion:
In conclusion, a divisional structure is the most suitable organization structure for the electronic company to effectively manage the introduction of new products like washing machines and ACs. This structure allows for autonomy, specialization, and efficiency in the operations of each product division.
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An electronic company manufacturing TV and Refrigerators wants to bring two new products Washing Machines and ACs in the market. For each product separate division is to be set up. The in-charge of washing machine division and AC division will be a female and a disabled person respectively. What type of Organisation structure is suitable for this company?a)Functional structureb)Divisional structurec)Formal organisation structured)Informal organisation structureCorrect answer is option 'B'. Can you explain this answer?
Question Description
An electronic company manufacturing TV and Refrigerators wants to bring two new products Washing Machines and ACs in the market. For each product separate division is to be set up. The in-charge of washing machine division and AC division will be a female and a disabled person respectively. What type of Organisation structure is suitable for this company?a)Functional structureb)Divisional structurec)Formal organisation structured)Informal organisation structureCorrect answer is option 'B'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about An electronic company manufacturing TV and Refrigerators wants to bring two new products Washing Machines and ACs in the market. For each product separate division is to be set up. The in-charge of washing machine division and AC division will be a female and a disabled person respectively. What type of Organisation structure is suitable for this company?a)Functional structureb)Divisional structurec)Formal organisation structured)Informal organisation structureCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for An electronic company manufacturing TV and Refrigerators wants to bring two new products Washing Machines and ACs in the market. For each product separate division is to be set up. The in-charge of washing machine division and AC division will be a female and a disabled person respectively. What type of Organisation structure is suitable for this company?a)Functional structureb)Divisional structurec)Formal organisation structured)Informal organisation structureCorrect answer is option 'B'. Can you explain this answer?.
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