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Marketing Management: Functional Structure and Multidivisional Structure

What are the principal differences between a functional structure and a multidivisional structure? Why does an organization change from a functional to a multidivisional structure?

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//An organization always directs its resources to achieve predetermined goals and objectives. For this purpose, it is essential to know the different organizational structure, so this will help to know the difference between functional and multi divisional organizational structure.//

Functional structure can be defined as horizontal differentiation of work forces with determination of their individual task based on their core competencies. They acquire specialized roles in a group based on common skills or common use of resources and share the information for the problem solving task. Working together ...

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