Question 1. 1. Why are small businesses dominated by the strategic apex? (Points : 1 Smaller staffs report directly to management.

They are more formal and complex.
Authority is decentralized.
They necessitate a machine bureaucracy.

I'll be glad to check your answer.

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Small businesses are not typically dominated by the strategic apex. The strategic apex refers to the top level of management in an organization, responsible for making strategic decisions and setting goals. In small businesses, there may not be a clear distinction between the different levels of management, and decision-making authority is often centralized. Therefore, small businesses are more likely to have a decentralized authority structure, where decision-making is spread out among different individuals or teams. Additionally, small businesses tend to have smaller staffs, so there may be more direct reporting to management rather than multiple layers of management. The organizational structure of small businesses is typically less formal and complex compared to larger organizations.

To understand why small businesses are dominated by the strategic apex, we need to understand what the strategic apex is and how it relates to the organizational structure.

1. The strategic apex refers to the top-level management of an organization. It consists of the CEO, board of directors, and other executives who make decisions and set the direction for the company.

2. Smaller staffs report directly to management in small businesses. Unlike larger organizations where there are multiple layers of management, small businesses have a flatter organizational structure. This means that there are fewer levels of hierarchy, and employees often report directly to the top-level management, which is the strategic apex. This direct reporting relationship allows for faster decision-making and more effective communication within the small business.

3. Small businesses are more formal and complex compared to larger organizations. Due to their smaller size, small businesses need to have more formal structures and processes in place. This is to ensure that tasks are carried out efficiently and responsibilities are clearly defined. The strategic apex plays a crucial role in establishing and maintaining these formal structures and processes.

4. Authority is decentralized in small businesses. Unlike larger organizations where decision-making authority is often centralized at the top, small businesses tend to decentralize authority. By delegating decision-making power to lower levels of the organization, small businesses can empower their employees and enhance flexibility and adaptability. The strategic apex is responsible for determining the extent of decentralization and ensuring that authority is exercised effectively throughout the organization.

5. Small businesses do not necessarily necessitate a machine bureaucracy. A machine bureaucracy is a type of organizational structure characterized by strict rules and regulations, standardized procedures, and clear authority lines. While some small businesses may adopt this type of structure, others may have different organizational structures that better suit their needs and goals. The dominance of the strategic apex in small businesses is more related to the need for effective decision-making, communication, and organizational control rather than a specific bureaucratic structure.

In summary, small businesses are dominated by the strategic apex due to the direct reporting relationships, the need for formal structures and processes, the decentralized authority, and the requirements for effective decision-making and organizational control.