1. In your own words, explain the dilemma that managers face when they are trying to decide between product departmentalization and geographical departmentalization. Geographical departmentalization became popular many years ago as companies expanded their operations across national borders. Since relatively limited communications made it difficult to take the pulse of consumer needs or monitor operations abroad, it made sense to let local managers in foreign countries run their regional or country businesses as more or less autonomous companies. However, two trends are making this structure less popular today. First, information technology is reducing the impediments to cross-border communication. Second, global competition is so intense that firms can't afford to miss an opportunity to quickly transfer product improvements from one region to another.