Which of the Following Is Not a Benefit of Tapered

question 8

Multiple Choice

Which of the following is not a benefit of tapered integration?

• A)It expands the firm's input and/or output channels without requiring substantial capital outlays
• B)Allows the firm to use information about the cost and profitability of its internal channels to help negotiate contracts with independent channels
• C)Lets the firm motivate its internal channels by threatening to expand outsourcing and,at the same time,motivate its external channels by threatening to produce more in-house.
• D)Allows the firm to produce most efficiently in all circumstances
• E)Helps the firm protect itself against holdup by independent input suppliers

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