"Breakdown of effective communication due to an increase inthe size of operations."
- Communication (especially up and down the chain of command) becomes more difficult to achieve efficiently as the business grows in size. Efficiency of communication can decrease as the costs of communication increase.
- Informationdoes not flow as quickly or freely up the chain of command (vertically) and orders/instructions do not pass as effectively down the chain of command.
- An additional problem may occur if the business is miltinational. This leads to problems with language barriers, cultural differeces and time zones.
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