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...(6] 3. FGH is a private limited company. FGH has a tall hierarchical organizational structure. It is a book retailer which plans to take
...(6] 3. FGH is a private limited company. FGH has a tall hierarchical organizational structure. It is a book retailer which plans to take over one of its competitors for $800m. If the takeover happens, FGH would have 6500 bookshops across 20 countries. FGH's Managing Director said: "We expect to reduce total costs by $300m each year after the takeover. We will stop all off-the-job training of employees.' The Managing Director thinks FGH would benefit from becoming a public limited company but some of the other directors cannot decide if this is a good idea. (a) What is meant by 'off-the-job training"? ..means.when. the employees are thucken.away fram their..ok totrain.. ...... . [2] (b) What is meant by 'private company limited"? 121 (e) Identify and explain two advantaues of FGH bavin a tall hierarchical organtzational structure Advantage I: Explanation: Advantage 2: Explanation: 141 (d) Identify and explain one advantage and one disadvantage to FGH of becoming a public limited company. Advantage: Explanation: Disadvantage Explanation: (61 (e) Do you think FGH should take over the other business? Justify your answer.
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