Business 0450 · IGCSE · Organisation and management

Organisation and management — practice question

(a)[8]

Explain two disadvantages to EP of operating a tall organisational structure.

(b)[12]

Consider these two methods EP could use to raise added value. Which method should EP choose? Justify your answer. • Raising prices • Cutting raw material costs

Worked solution & mark scheme

This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: Communication becomes slower - because messages have to travel along a long chain of command - so it takes longer for information to move from senior managers to workers at the lowest level

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