ENTREPRENEURIAL OPERATIONS
CHAPTER 7 ENTREPRENEURIAL LEADERSHIP AND MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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true
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false
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Either A or B
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None of the above
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Detailed explanation-1: -A disadvantage to line authority is that it can lead to overstaffing, which can be costly. Managers are usually task-oriented. Middle managers are often responsible for only one department in a business. Entrepreneurs who start and run businesses by themselves do not have to manage other people.
Detailed explanation-2: -Chain of Command-the continuous line of authority that extends from upper levels of an organization to the lowest levels of the organization-clarifies who reports to whom.
Detailed explanation-3: -The link between superior and subordinate is called line authority. Organizational charts show this link by connecting a supervisor and employee with a solid line. Charts also show entire departments linked to a superior by a line. Such line departments–production, finance and marketing-are essential to a company.