What are two disadvantages of decentralization?
Disadvantages of decentralization include: (pick two)
· A lack of company focus can occur when decision-making authority is spread among too many managers.
· Lower-level managers may not be properly trained in decision-making.
· High training costs of lower-level managers.
· Lack of coordination and communication between segments can occur.
· It may become more difficult for managers to share unique and innovative ideas with each other.
· It may result in duplicative efforts and costs.
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