What is a multidivisional structure organization?

A multidivisional structure organization is a type of organizational structure in which the company is divided into multiple semi-autonomous divisions, each with its own functional areas, resources, and goals. Each division operates as a separate business unit, with its own management team responsible for making decisions related to their specific division. This structure allows for greater flexibility and responsiveness to market changes, as well as the ability to focus on specific products, services, or geographic regions. It is commonly used by large corporations with diverse product lines or operating in multiple markets.