DHL, a successful European company, is attempting to overcome various legal problems in order to enter the U.S. market of overnight package delivery. Its two major competitors would be FedEx and UPS. As DHL looks to set up a U.S. subsidiary, it wishes to benchmark its organizational architecture. What should it do?
What will be an ideal response?
DHL should realize that a successful organizational architecture is more than a collection of good ideas or good parts. A successful organization should be carefully coordinated to align individuals' incentives with the firm's goals. DHL's organizational architecture has survived in a European legal and regulatory environment. In contrast, FedEx's and UPS's architectures have survived under the U.S. legal system in the market for overnight delivery. There is no single "best" organizational form for all firms in all external legal and market environments. Instead, the best organizational form for a firm depends critically on its current business environment. DHL should be aware of possible unintended side effects of changing one component of organizational architecture without considering its effects on the other parts of organizational architecture.
You might also like to view...
Suppose that the government imposes a price ceiling on gasoline that is below the equilibrium price. The black market for gasoline is ________ market in which the price ________ ceiling price
A) a legal; exceeds the B) an illegal; exceeds the C) a legal; is less than the D) an illegal; is less than the E) an illegal; equals
Which of the following is not a consequence of minimum wage laws?
A) Employers will be reluctant to offer low-skilled workers jobs with training. B) Some workers benefit when the minimum wage is increased. C) Producers have an incentive to offer workers non-wage benefits such as health care benefits and convenient working hours rather than a higher wage. D) Low-skilled workers are hurt because minimum wage reduces the number of jobs providing low-skilled workers with training.
Deliberation councils have no private sector input
Indicate whether the statement is true or false
Initially, the economy is at point B in Figure 10-3 above. We may conclude that over time,
A) per person saving and steady state investment will remain stable at points C and D respectively. B) per person capital will grow, point D to E since per capita savings exceed steady state investment, point C is greater than point D. C) per person capital will grow, point D to E since per capita savings is less than steady state investment, point C is greater than point D. D) per person saving and steady state investment will remain stable at points D and C respectively.