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Deciding on core competencies is crucial for companies because it helps them identify their unique strengths and areas of expertise, which can inform strategic decision-making. By understanding what they do best, organizations can choose an appropriate structure that supports these strengths, facilitates efficient operations, and fosters innovation. This alignment ensures that resources are allocated effectively and that the organizational framework enhances overall performance and competitive advantage. Ultimately, clarity on core competencies guides the development of a structure that supports long-term goals and adaptability in a changing market.

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1w ago

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