This statement is true.
A divisional structure is designed to focus on specific customer groups or market segments. By organizing operations around the needs and preferences of these clearly defined groups, an organization can respond more effectively to their unique requirements. Each division can develop tailored strategies, products, and services, improving customer satisfaction and loyalty. Additionally, this structure allows for better accountability, as each division is responsible for its performance, which can lead to more efficient resource allocation and innovation based on customer feedback.