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Which of the following might be a reason to perform departmentalization?Multiple choice question.A small business expandingGovernment regulationInternational trade agreementStakeholders' decisions

Question

Which of the following might be a reason to perform departmentalization?Multiple choice question.A small business expandingGovernment regulationInternational trade agreementStakeholders' decisions

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Solution

The reason to perform departmentalization could be "A small business expanding".

Here's why:

  1. Departmentalization refers to the process of dividing an organization into different departments, which perform tasks according to the departments' specializations in the organization.

  2. When a small business expands, it often needs to create more departments to handle the increased workload and different types of tasks. For example, a small business that initially had a single team handling all tasks might need to create separate departments for marketing, finance, human resources, and production as it grows.

  3. Government regulation, international trade agreement, and stakeholders' decisions might affect how a business operates, but they are not direct reasons to perform departmentalization. These factors might lead to changes in a company's structure or operations, but not necessarily result in departmentalization.

So, the most likely answer is "A small business expanding".

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