Question

Mark is the owner of a local shoe business. He has fifteen employees who report directly to him and he makes all the decisions regarding the type and quality of shoes and looks after the shop's finances. Which type of organizational structure does Mark have? A) virtual structure B) simple structure C) bureaucracy D) matrix structure E) boundaryless structure

Answer 1

Answer: Simple structure

Explanation:

Simple structure is a basic form of organizational design structure that has little work specialization, low departmentalization, wide spans of control and a centralized authority.

The centralized authority is usually the owner who has most of the power in the business and there are little formalization that govern the operation of the business. Example can be found in a local shoe business with few workers.