Which of the Following Statements Regarding Corporate Chains Is Most

question 71

Multiple Choice

Which of the following statements regarding corporate chains is most accurate?

• A)Corporate chains cannot bargain with a manufacturer to obtain product volume discounts due to federal anticompetitive legislation-the Clayton Act as amended by the Sherman Act.
• B)Corporate chains generally own most if not all of their suppliers-a practice known as forward integration-so they can save distribution costs.
• C)Consumers have fewer choices in merchandise since all buying decisions are made by a decentralized buying committee.
• D)Corporate chains offer the least benefit to consumers since they are the farthest removed from the ultimate consumer.
• E)Corporate chains are multiple outlets under common ownership.

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