The functional structure is most suitable when operations require a high degree of:
ADecentralisation
BConsolidation
CSpecialisation
DDiversification
Answer & Solution
Correct answer: C. Specialisation
1. It suits large organisations.
2. Activities are diversified but functions are shared.
3. It fits where specialisation is needed.
_Source: NCERT Class 12 Business Studies Part I, Chapter 5, Organising._
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