Question : Divine Ltd. is a leading soap manufacturing company. They want to diversify into textiles. Identify the type of structure that should be followed by divine Ltd.
Option 1: Divisional structure
Option 2: Functional structure
Option 3: Both (A) and (B)
Option 4: Neither (A) nor (B)
Correct Answer: Divisional structure
Solution : When the organisation is large in size and is producing more than one type of product then activities related to one product are grouped under one department. In the above case, Divine Ltd. is a leading soap manufacturing company. They want to diversify into textiles.they follow a divisional structure. Hence, option 1 is the correct answer.
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