Which structure assigns global responsibilities to product divisions and responds to cost efficiency pressures?

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Prepare for the UCF GEB3375 Intro to International Business Exam 2. Enhance your skills with multiple-choice questions, detailed explanations, and strategic tips. Boost your confidence and excel on your exam day!

The global product structure is designed specifically to assign global responsibilities to product divisions while also addressing cost efficiency pressures. In this structure, organizations are typically set up whereby each product division operates with a certain level of autonomy and is responsible for its own strategy, marketing, and sales on a global scale. This allows the company to focus on optimizing the efficiency of production and distribution of that specific product across different markets internationally.

The emphasis on product divisions ensures that these divisions can quickly adapt to market demands and innovations specific to their product lines, while also maintaining a tight focus on cost control through economies of scale. This framework allows companies to leverage global efficiencies and improve their competitive positioning by aligning products with customer needs across different regions.

Other structures, such as the international division structure, often focus on coordinating global operations without emphasizing product-oriented responsibilities. The geographic region structure prioritizes regional market dynamics over product specialization, which may not necessarily lead to the same level of cost efficiency. Meanwhile, the global functional structure is more centered around functions such as marketing, finance, or R&D rather than product divisions, which can complicate focus on cost efficiencies linked to specific products. Therefore, the global product structure is the most fitting choice for companies seeking to balance global responsibilities with cost efficiency in relation