Business I / Organizing and Structure
Practice question · Multiple choice

A stable utility and a fast-moving game studio adopt opposite structures and both perform well. Which claim does that support?

Hints
  1. Two opposite designs, both succeeding. Ask what varies alongside them.
  2. If one structure were best, what would we expect to see across industries?
Show the answer

C. Contingency theory: fit determines performance

Why

Mechanistic structures suit stable, predictable environments and organic ones suit turbulence, so the right question is fit rather than best. Burns and Stalker established this in the 1960s, and it is why importing a competitor's org chart without importing their environment usually fails.

Read the lesson: Organizing and Structure →

Practise Organizing and Structure

The app has 6 more questions on this lesson, and keeps your place in the course. Business I is free to start.

More questions on Organizing and Structure