Which of the Following Is True of Vertical Integration

question 101

Multiple Choice

Which of the following is true of vertical integration?

• A) It does not provide long-term competitive advantage.
• B) A firm risks losing its proprietary product technology to competitors.
• C) A firm can leverage its dynamic capabilities to produce a range of elegantly designed products.
• D) Substantial investments in specialized assets are required to manufacture a component.
• E) The greater the number of subunits in an organization, the more problems controlling those units.

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