A team approach best fits a differentiation strategy based on innovation, flexibility, and responsiveness while still limiting unnecessary resource duplication. Cross-functional teams can bring together marketing, operations, finance, technology, and product expertise to respond quickly to customer needs and support innovation. A functional structure can reduce duplication, but it may be slower and less responsive across departmental boundaries. A divisional structure supports product or market focus, but it often duplicates resources across divisions. A virtual network structure provides flexibility through outsourcing or external partnerships, but it may reduce direct operational control. Internal auditors should evaluate whether organizational structure supports strategy, accountability, coordination, and control. Therefore, Option C is correct.