A company X limited manufacturing cosmetics, which has enjoyed a pre-eminent position in business, has grown in size, its business was very good till 1991. But after the new liberalised environment has seen entry of many MNC's in the sector.
With the result the market share of X limited has declined. The company had followed a very centralised business model with Directors and divisional heads making even minor decisions. Before 1991 this business model had served the company very well as consumers had no choice. But now the company is under pressure to reform.
What organisation structure changes should be company bring about in order to retain its market share?
How will the changes suggested by you help the firm? Keep in mind that the sector in which the company is FMCG.