QUESTION 2: BUSINESS ENVIRONMENTS 2.1 List TWO factors influencing the organisation structure of the business.
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One major factor influencing an organization's structure is the size of the business. As companies grow, they often require more layers of management and departments to effectively handle operations, resulting in a more complex structure. Small businesses tend to adopt simpler structures, often with fewer management levels, promoting agility and streamlined decision-making. Another significant factor is the business environment in which it operates, including market competition and economic conditions. Companies must adapt their structures to respond to changes in customer demands, technological advancements, and regulatory requirements, ensuring they stay competitive and can pivot their strategies swiftly when necessary.
