True or False? “The increased diffusion of information and communication technologies (ICT) in firms has made...

True or False? “The increased diffusion of information and communication technologies (ICT) in firms has made a decentralised organisational structure more efficient. As such, firms pursuing a cost leadership strategy should decentralise.” justify your answer. upto 500 words

Please explain well and solve it asap

Expert Solution

The increased diffusion of information and commt technologies clearly helped in decentralised organizations working more efficiently. TRUE

It is majorly because one of the major Challenges in decentralised organizations are to connect each other and communicate the activities and co ordinate on different requirements. The advancement of technologies especially in the information area helps in integrating and creating a placeholder where people can connect each other irrespective of the physical locations . This reeudes ambiguity and also kmrpove the team work and co ordination. Decentralised organizations have disintegrated goals sometimes however the common objectives remains same and it is necessary to align to that properly.

Firms pursuing cost leadership should decentralised:- FALSE

It is not mandatory that firm having cost leadership strategy should decentralise. Cost leadership aim for maximising the customer base by reducing the cost and attracting more customers through increased market potential opportunities. Communication and integration is necessary but it's not mandatory hat firms following cost leadership strategy should decentralise.

keosha answered 1 year ago

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