Organizing around customer and markets can offer several advantages. First, it focuses managers and employees on what really counts-satisfying the needs of target customers. Second, the benefits increase as customers shift from buying commodity products to wanting value-enhancing solutions made up of several product and service elements. Third, it encourages innovation and value-added offerings, by creating expertise in the operations. problems and changing market environment of the buyer. Fourth, it stimulate teamwork and reduces functional conflict by providing a common focus through which specialized inputs can be directed.

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