In Which Situation Would Horizontal Integration Be an Especially Effective

question 96

Multiple Choice

In which situation would horizontal integration be an especially effective strategy?

• A) When an organization can gain monopolistic characteristics in a particular area or region without being challenged by the federal government for "tending substantially" to reduce competition
• B) When an organization competes in a slowing industry
• C) When decreased economies of scale provide major competitive advantages
• D) When an organization has neither the capital nor human talent needed to successfully manage an expanded organization
• E) When competitors are succeeding due to managerial expertise or having particular resources an organization possesses

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Definitions:

Psychological Need

A mental or emotional necessity, which when not fulfilled, may lead to psychological issues or distress.

Instrumental Functions

Tasks and activities aimed at achieving a specific goal or purpose, often related to practical and material aspects of life.

Gun

A weapon incorporating a metal tube from which bullets, shells, or other missiles are propelled by explosive force.

Subtle Method

A technique or approach that is delicately complex and not immediately obvious or overt.