Vertical Disintegration Occurs When

question 58

Multiple Choice

Vertical disintegration occurs when:

• A) a company decides to exit industries to its core industry.
• B) a company takes advantage of another company it does business with after the other company has made an substantial investment in assets to meet the needs of the company.
• C) a company decides to acquire its suppliers and distributors.
• D) a company uses its capital resources to purchase its competitor.
• E) a company decides to sell its business model to another company.

---

Definitions:

Linking Pins

A concept describing individuals who connect different groups or levels within an organization, facilitating coordination and communication.

Interdependence

The mutual reliance between two or more groups, individuals, or systems where the actions of one affect the outcomes of the others.

Accommodation

Or smoothing, involves playing down differences and finding areas of agreement.

Conflict Management

Involves employing strategies to limit the negative aspects of conflict while increasing the positive aspects with the goal of improving learning and group outcomes.