Which of the Following Describes a Company Growing by Combining

question 130

Multiple Choice

Which of the following describes a company growing by combining with other organizations in the same industry?

• A)forward vertical integration
• B)backward vertical integration
• C)horizontal integration
• D)concentration

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Definitions:

Undisclosed Principal

In an agency relationship, a principal whose identity is not revealed to the third party by the agent.

Implied Authority

Authority of an agent that is not expressly granted but assumed to be given as necessary to perform tasks related to their job.

Actual Authority

The explicit power granted to an agent or representative by the principal to perform certain acts on their behalf.

Principal's Ratification

The formal approval by a principal (party in authority) of an act performed on their behalf, usually validating a previously unauthorized act.