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A sporting goods manufacturer produces equipment for a variety of activities. It has production facilities in Atlantic Canada, Ontario, and British Columbia. It has these locations because each area concentrates on different equipment. For example, Atlantic Canada produces boats and hiking equipment, Ontario small boats such as canoes, and camping equipment, while BC concentrates on mountain climbing and skiing.
Which type of departmentalization should the company choose? Why?
What are the advantages and disadvantages of this type of departmentalization?
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