1. Speed company a. Single markup Manufacturing unit MC=$200‚ selling and distribution cost Sales unit MC=$150 End user’s consumer demand P=1000-0.01Q. P is the price for each printer and Q is the quantity demanded in the marketplace. The marginal revenue corresponding to the demand is MR=1000-0.02Q. Total marginal cost MC=$200+$150=$350. The firm maximizes profit when MR=MC. Thus‚ 1000-0.02Q=350. Q=32500. Substituting Q into the demand equation we find the profit maximizing price‚ P
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creates the organization’s structure. When managers develop or change the organization’s structure‚ they’re engaging in organization design‚ which is the process of making decisions about how specialized jobs should be‚ rules to guide employees’ behaviors‚ and at what level decisions are to be made (Robbins et al.‚ 2015‚ p.173). There are 6 key elements in organizational design. Nestle has fulfilled all of them to be successful today. Firstly‚ Nestle practices work specialization‚ which is dividing work
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Organizational design and structure allow a company to organize itself into different divisions that make work and labor occur more efficiently. Departmentalization is a method of subdividing work into separate organizational units that perform particular tasks. Pfizer uses product departmentalization in order to organize the company into separate units that produce particular products or services. Pfizer manages its operations through five divisions: Primary Care‚ Specialty Care and Oncology‚ Established
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Why is organizational structure important to organization? What does an organizational chart shows? Organizational structure is very important to an organization. An organizational structure should enable the organization to change or to respond according to its environment. If it is very effective it is called a flexible structure. Mainly there are two types of structures. They are organic structure and mechanistic structure. Organic Structure – an organizational structure that is free flowing
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Innovation: The Key to Achieve Organizational Sustainability Introduction Currently‚ the theory of sustainability has gained an international popularity not only in the more macro social and ecological level‚ but also in the relatively micro organizational level. To be more specific‚ now it has become the primary goal of an organization to sustain a healthy and long-term development‚ or sustainable development. The role of innovation in the organizational sustainability‚ however‚ is not yet decided
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Week 10 Assignment 5: Conflict‚ Decision Making‚ and Organizational Design Wendy S. Hill Dr. Peter DeDominici BUS 520: Leadership and Organizational Behavior December 16‚ 2012 Week 10 Assignment 5: Conflict‚ Decision Making‚ and Organizational Design Beginning with the Manhattan Project in the 1940’s‚ Oak Ridge‚ TN has been a Mecca for cutting edge equipment‚ research and scientific development. In 1946‚ two University of Tennessee professors “were discussing the merits of linking the valuable
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Chapter 10 Organizational Structure and Design True/False Questions DEFINING ORGANIZATIONAL STRUCTURE 1. Organizational design is the organization’s formal framework by which job tasks are divided‚ grouped‚ and coordinated. (False; difficult; p. 266) 2. Organizational structure is the degree to which tasks in an organization are divided into separate jobs. (False; moderate; p. 266) 3. The concept of work specialization can be traced back a couple of centuries to Adam Smith’s discussion
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INTRODUCTION Above Creative Events (M) Sdn Bhd (ACE) was chosen as our research company. In this report‚ we will determine the organizational communication practices in ACE from management point of view and analyze its effectiveness. ACE is a one-stop events management company in Malaysia. ACE provides services in three main areas which are events management‚ artist management and destination management. Their services include whole events planning‚ decoration of stage and the venue‚ equipment
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Chapter 10 Basic Organizational Design Once managers are done planning‚ then what? This is when managers need to begin to “work the plan.” And the first step in doing that involves designing an appropriate organizational structure. This chapter covers the decisions involved with designing this structure. Focus on the following learning outcomes as you read and study this chapter. LEARNING OUTCOMES 10.1 Describe six key elements in organizational design. 10.2 Contrast mechanistic and
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In this assignment we introduce the idea that the organizational culture is the personality of an organization which can be defined‚ measured‚ sustained and changed and have an important impact on an organization’s effectiveness. We want to define organizational culture as it is presented by two theorists‚ indicate levels of expressions of culture in an organization‚ and provide specific strategies or tools to modify organizational culture. We know that every individual has something that psychologists
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