What is a potential benefit of a divisional structure?

A divisional structure organizes a company into semi-autonomous units or divisions, each focusing on a specific product line, market, or geographic area. This approach allows each division to develop specialized expertise and tailored strategies that align closely with their specific goals and customer needs. By concentrating on particular aspects of the business, divisions can respond more rapidly to changes in their markets and innovate in ways that drive competitive advantage.

This type of structure often leads to an enhanced focus on customer service and product development, as the divisions operate like individual entities, allowing decision-making to be decentralized. Moreover, this encourages each division to foster its own organizational culture, ultimately improving engagement and accountability among team members who specialize in their unique areas.

In contrast, the other options present challenges associated with divisional structures. Simplified communication channels may be more effective in a functional structure where teams are organized by functions rather than products or markets. Difficult accountability can arise if the divisions operate too independently without clear oversight from upper management. Minimal role duplication is less common in divisional structures because each division may have its own set of roles that could overlap with others, potentially leading to inefficiencies. Thus, the significant benefit of focused expertise is what makes option C the strongest choice regarding divisional structure benefits.