Since each product division in a multidivisional structure will be its own profit center, and thus can be easily evaluated to determine profitability and performance against objective budgetary goals, it will be easier for the corporate management team to determine which divisions provide the best opportunities for obtaining the highest rates of return on invested capital. With this information, the company can make better decisions about the allocation of scarce resources and thus has a better chance of increasing the overall profitability of the company.