Fig. 2 shows the organisational structure planned by a smartphone accessories business that has expanded from Malaysia into several overseas markets. The ch...
Question 1 Report
Fig. 2 shows the organisational structure planned by a smartphone accessories business that has expanded from Malaysia into several overseas markets. The chief executive wants regional managers to react quickly to local changes in demand while maintaining product quality.
(a) Identify the manager responsible for sales in France. [1]
(b) Explain one benefit of having regional managers in this organisational structure. [2]
(c) Explain one possible problem if each regional manager chooses different advertising messages. [2]
(d) Calculate the average number of new distributors per regional manager if the business appoints 27 new distributors equally across the three regions. Show your working. [2]
(e) Which one way could the chief executive check that product quality is consistent in all regions? [1]
Answer Details
(a) Sales in France are the responsibility of the Europe manager. [1]
(b) Regional managers understand their local markets and can make decisions more quickly. This allows the business to respond to changing demand and may increase sales. [2]
(c) Different advertising messages could make the global brand appear inconsistent. Customers may become confused or brand recognition may weaken, reducing sales. [2]
(d) The 27 distributors are divided equally among three regional managers:
\[27 \div 3 = 9\]
Each regional manager receives 9 distributors. [2]
(e) The chief executive could use common quality standards in every region. Product inspections or quality-control audits are also acceptable. [1]
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