Which of the Following Is an Advantage of Organizing in a Vertical

question 13

Multiple Choice

Which of the following is an advantage of organizing in a vertical market structure in B2B markets?

• A)Communication with consumers is easier in a vertical market structure.
• B)Product managers can market their brands to customers in different industries.
• C)Marketing is more efficient because channels of communication are likely to be the same within an industry but different across industries.
• D)It allows marketers in the B2B markets to reach consumers who are located geographically far from them.
• E)It reduces the cost of production and,hence,lowers the cost of products.

Recognize the risks and disadvantages associated with focused and low-cost strategies.

Understand how organizations apply differentiation strategies to stand out from the competition.

Comprehend the concept and importance of strategic choice in developing competitive advantage.

Know the characteristics of mechanistic and organic organizations and their implications for organizational design.

---

Definitions:

Demand Curve

A visual depiction that illustrates the connection between a product's price and the amount of that product buyers are prepared and capable of buying at different price levels.

Price

The expense involved in securing a product or service.

Demand Curve

The Demand Curve is a graph showing the relationship between the price of a good and the quantity of that good that consumers are willing and able to purchase at various prices.

Quantity Demanded

The level of product or service that buyers intend to purchase at various prices.