BUS 272 Chapter Notes - Chapter 13: Organizational Chart

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While control in the modular structure remains with the core organization (such as. Nike, dell computer, and bauer), in the virtual organization participants relinquish some of their control and act more interdependently. Virtual organizations may not have a central office, an organizational chart, or a hierarchy. Innovation strategy: a strategy that emphasizes the introduction of major new products and services. Cost-minimization strategy: a strategy that emphasizes tight cost controls, avoidance of unnecessary innovation or marketing expenses, and price cutting. Imitation strategy: a strategy that seeks to move. Organic: a loose structure; low specialization, low formalization, decentralized. Mechanistic: tight control; extensive work specialization, high formalization, high centralization.

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