Which of the following would be considered true about modular organizations? Check all that apply. A. They are more expensive to run than traditional organizations. B. They allow for more control over key business activities when they are outsourced. C. They allow companies to strengthen their competitive advantage. D. They can consist of suppliers, specialists, or consultants.

• They allow companies to strengthen their competitive advantage.

1. They can consist of suppliers, specialists, or consultants.

Explanation:

The primary advantage of modular organizations is that they can cost significantly less to run when compared to traditional organizations. Modular organization provide several benefits, but all of these benefits require reliable vendors and suppliers with whom they can trust and work closely. One common disadvantage with these organization is the loss of control when key business activities are outsourced from other companies. The effectiveness of such organizations is one of the sources of competitive advantage they have over traditional organizations.