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Type: Critical Reasoning

Difficulty: 4 star rating

Companies often re-organize in order to adapt to changes in the world around them but the market place changes much faster than organizations can re-organize. If you choose a simple organization you can then spend your effort on teaching the people in the organization to be flexible and adapt to changes in the market place.

Which of the following conclusions can be most properly inferred from the premises above.

Companies should invest in staff training to increase their adaptability.
Companies should invest in research to keep abreast of changes in the market place.
Companies should choose a simple organizational structure and keep it that way.
Companies should continuously re-organize to keep up with changes in the market place.
Companies should choose a matrix structure which can be re-organized more rapidly than other organizational structures.