Question : 'Harsh is running a company where he sells variety of goods such as textiles, garments, cosmetics etc. He follows an organisation structure.'Identify the organisation structure mentioned here.
Option 1: Divisional structure
Option 2: Functional structure
Option 3: Both (A) and (B)
Option 4: None of the above
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, 'Harsh is running a company where he sells variety of goods such as textiles, garments, cosmetics etc. He creates a seperate department for each product.
Hence, option 1 is the correct answer.