Distributed networks are best suited for firms that have decentralized organiza-
tional structures, diverse operations or user groups, and clustered functions at vari-
ous locations. Examples of firms using distributed networks are multiproduct manufacturing firms and firms that offer a variety of services. On the other hand, many firms with diverse activities and services find that both centralized and distrib-
uted networks are desirable. For instance, large airlines may use centralized networks for their reservations systems but distributed networks for their maintenance opera-
tions.