Question

Decentralization is usually desirable in a company when:

a. The company is operating in a pure competition.
b. The company is geographically concentrated.
c. The organization has fewer than 30 employees.
d. The firm is operating in a dynamic environment employees refuse to accept any accountability.

Answer 1

The answer is a. The company is operating in a pure competition.

Step-by-step explanation:

The other options are incorrect. Decentralisation of power has only a little to do with the geographical location and with the number of employees.

Besides, the employees must be accountable for the responsibilities they take.

However, when the competition is severe, decentralisation is useful as it motivates people and increase the creativity and the decision making capacity of the individuals.