Citation mic13 l 17417 some form of a product

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[ CITATION Mic13 \l 17417 ] Some form of a product structure is most commonly used by multinational corporations, whether in its pure form or as the driver in a more complex matrix structure. The pure product structure approach gives worldwide responsibility to strategic business units for the marketing of their product lines. Most consumer-product firms use some form of this approach, mainly because of the diversity of their product lines. The second adopted approach is the area structure. The firm is organized based on geographical areas; for example, operations may be divided into those dealing with North America, the Far East, Latin America, and Europe. Ideally, no special preference is given to the region in which the head- quarters is located—for example, North America or Europe. Central staffs are
responsible for providing coordination support for worldwide planning and control activities performed at headquarters. [ CITATION Mic13 \l 17417 ] Regional integration continues to play a major role in area restructuring; for example, many multinational corporations have located their European head- quarters in Brussels, where the EU has its headquarters. Among all the global organization approaches, the functional structure is the simplest from the administrative viewpoint because it emphasizes the basic tasks of the firm. Firms may also organize their operations using the customer structure, especially if the customer groups they serve are dramatically different. MNEs need to build synergies and economies of scale as well as be locally responsive and adaptive. This double and conflicting challenge makes the pressures on global operating models more acute because transnational forces will become stronger as industries become more multipolar, with multinationals operating in both developed and emerging markets.[ CITATION Mic13 \l 17417 ] 2. Discuss the benefits gained in adopting a matrix approach in terms of organizational structure.
determined by world market share, which in turn is often determined by the degree to which manufacturing is rationalized. Adaptation to this approach has historically been associated with consolidation of operations and plant closings. A good example is Stanley Black & Decker, which groups its brands under consumer products, industrial products, and fastening and assembly systems groups and which rationalized many of its operations in its worldwide competitive effort against Makita, the Japanese power-tool manufacturer.[ CITATION Mic13 \l 17417 ] 3. Video Collaboration Studios (VCS) is continually growing new studios globally. The

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