You are designing the Azure resource organization for a large enterprise. The enterprise has three main divisions: Retail, Manufacturing, and Finance.

The Finance division requires strict compliance policies (e.g., PCI-DSS) that must not affect the other divisions. The Retail and Manufacturing divisions share common security policies. All divisions must inherit a baseline set of corporate policies (e.g., allowed regions).

How should you design the Management Group hierarchy?

Apply all policies at the Root Management Group and use policy exemptions for the Retail and Manufacturing divisions.

Create a Root Management Group for corporate policies. Create a Finance Management Group and a Shared Management Group under the Root. Place Retail and Manufacturing under the Shared Management Group.

Create three separate Management Groups at the root level for Finance, Retail, and Manufacturing. Apply corporate policies to each individually.

Place all subscriptions in a single Management Group and use Resource Group tags to assign policies dynamically.