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Functional Areas of a Business - A Note of Caution!

Now we have some ideas about what each functional area does we need to urge a note of caution:

• All businesses will carry out each of these functions but...
• Not every business will have a separate department that is responsible for each function
• Very large businesses will have specialist staff in each department and these departments could be spread across the globe!
• Small businesses may have one or two people who try and do everything!

Image: Businesses come in all shapes and sizes and whilst all will have to carry out the different functions they will have different ways of doing them. Some small business owners may have to do them all themselves! Copyright: Karl Mooney

Different businesses, therefore, will manage their functions in different ways so do not expect every business to do exactly the same thing.

Let's have a look at two examples of businesses and see how they organise their functional areas differently.

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