Backward Integration Is Effective in All of These Except

question 38

Multiple Choice

Backward integration is effective in all of these except

• A) when an organization competes in an industry that is growing rapidly.
• B) when an organization has both capital and human resources to manage the new business of supplying its own raw materials.
• C) when an organization needs to acquire a needed resource quickly.
• D) when the advantage of stable prices are not important.
• E) when present suppliers have high profit margins.

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Definitions:

Unenforceable

Describes a contract or agreement that, due to certain defects or limitations, cannot be legally upheld or compelled by a court.

Convention on Contracts

An international agreement or treaty that establishes uniform rules for commercial contracts between parties from different countries.

International Sale of Goods

Transactions involving the purchase and sale of goods across international borders, governed by specific treaties and laws such as the United Nations Convention on Contracts for the International Sale of Goods (CISG).

Aggrieved Seller

Refers to a seller who has suffered from a breach of contract or harm due to the buyer's actions or inactions.