1. what are the advantages and disadvantages of decentralization?
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Disadvantages of a Decentralized Organization The main disadvantage of a decentralized organization is that you lose control over the day-to-day activities of your company. Maybe “lose” is too strong a word, but you are ceding authority to your managers, which means that you trust their instincts, skills, and talents.
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Centralization of authority means the power of planning and decision making are exclusively in the hands of top management. ... On the other hand, Decentralization refers to the dissemination of powers by the top management to the middle or low-level management.
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What factors determine the balance between centralization and decentralization and between standardization and mutual adjustment? The balance depends on organizational goals and the environment. To discourage risk-taking, the structure is centralized with control through standardization.
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Advantages of using wholly owned subsidiaries include vertical integration of supply chains, diversification, risk management, and favorable tax treatment abroad. Disadvantages include the possibility of multiple taxation, lack of business focus, and conflicting interest between subsidiaries and the parent company.
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What are the essential elements of market economies? Advantages are efficiency and productivity, economic free choice, economic growth, and innovations. Disadvantages are unequal distribution of wealth, lack of a good way to provide for public goods.
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Decentralization means dispersal of powers and authorities by the top level to the functional level management. Centralization is the systematic and consistent concentration of authority at central points. Unlike, decentralization is the systematic delegation of authority in an organization.
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An advantage of regionalism include having individuals learn their roles in the community. one disadvantage of regionalism is that it can be too inclusive and keep new individuals out.
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['Ease of Formation and Closure: ... ', 'Simplicity of Operation and Flexible Management: ... ', 'Sole Beneficiary of Profits: ... ', 'Benefits of Small-Scale Operations: ... ', 'Prompt Decisions: ... ', 'Retaining Secrecy: ... ', 'Social Desirability: ... ', 'Tax Advantage:']
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Difference Between Centralization and Decentralization. The terms centralization and decentralization refer to the political and administrative structure of a country. ... Conversely, in a decentralized state, power and responsibilities are dispersed and distributed across regions and areas.
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Advantages of downward communication include organizational discipline, some efficiencies, goal explanation and ease of delegation. Disadvantages include message distortion, slow feedback, interpretative problems, lower morale and the fact that it's not motivating.
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['Reduced Total Cost of Ownership. ... ', 'Increased Scalability and Reliability. ... ', 'Enabling Collaborative Applications. ... ', 'Reduced Middleware Tax! ... ', 'Increased Application Development Agility. ... ', 'Increased End User Computing. ... ', 'Service Level Agreements. ... ', 'National Data Protectionism.']
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Through homogenization, people can also obtain easier and better quality of communication. There are also disadvantages of homogenization and one is that it destroys. It can also result in the loss of individual culture and religion and less diversity of ideas.
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Through homogenization, people can also obtain easier and better quality of communication. There are also disadvantages of homogenization and one is that it destroys unique cultural practices in various countries and thereby reducing the amount of cultural diversity that exists in the world.
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What are the major advantages and disadvantages of smallness in business? Personal Relationships with customers and employees, ability to adapt to change, simplified record keeping, Independence. Risk of Failure, limited potential, limited ability to raise capital.
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['Advantage: Specialization. ... ', 'Advantage: Operational Speed. ... ', 'Advantage: Operational Clarity. ... ', 'Disadvantage: Segregation. ... ', 'Disadvantage: Weakening of Common Bonds. ... ', 'Disadvantage: Lack of Coordination. ... ', 'Disadvantage: Territorial Disputes.']
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Command economy advantages include low levels of inequality and unemployment, and the common good replacing profit as the primary incentive of production. Command economy disadvantages include lack of competition and lack of efficiency.
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As its name implies, decentralized systems don't have one central owner. Instead, they use multiple central owners, each of which usually stores a copy of the resources users can access. A decentralized system can be just as vulnerable to crashes as a centralized one. However, it is by design more tolerant to faults.