What Was the Purpose of Vertical Integration,which Was Pioneered by Andrew

question 33

Multiple Choice

What was the purpose of vertical integration,which was pioneered by Andrew Carnegie in the late nineteenth century?

• A) It restructured the administrative hierarchy and,in the process,revolutionized managerial productivity.
• B) It focused on the systemic promotion of immigrants and African Americans who were working for Carnegie Steel.
• C) It concentrated on one aspect of production to the exclusion of all others.
• D) It placed all aspects of the business,from mining raw materials to marketing and transporting finished products,under the control of the chief operating officer.

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Definitions:

Price of Capital

The cost of using capital for production or investment, often represented by interest rates or return on investment.

Manufacturing Plant

A large industrial building designed for the production of goods, using various processes and machinery, in a structured and efficient manner.

Total Cost

The full amount of expenses incurred by a firm in the production of goods or services, including both fixed and variable costs.

Marginal Cost

The increase in total cost that arises from producing one additional unit of a good or service.